End of Year Tax Checklist – Make 2015 Count!

What can you do before the end of the tax year to ensure that you are not missing out? Our end of tax year checklist will help you explore the steps you can take to minimise your tax liability over the next year.

Income Tax
Use the annual ISA limit – which was increased to £15,000 during the tax year
Investing in EIS/VCT qualifying shares gives 30% income tax relief on investments up to specified limits
Make the maximum pension contributions on offer for higher rate tax relief, including carry forward from previous unused years

Capital Gains Tax (CGT)
Use the annual exemption for 2014/2015 which allows gains of up to £11,000 without triggering a CGT charge

Inheritance Tax
Utilise the £3,000 exemption for annual transfers

Looking Ahead
In the new tax year, with an increased savings rate band at 0% and the ability to move part of the personal allowance between spouses, acting now, ahead of the 2015/16 tax year will help to ensure that you are as tax efficient as possible.  For example, a reallocation of assets between spouses, a change in investment strategy or a simple review of the expenses claimed against self-employment or rental income may provide tangible tax savings.

Sensible tax planning is an important exercise, and allowances are there to provide savings. We can help. For more information, or to review your tax plans with an expert please get in touch.

This entry was posted on Friday, 13th February 2015 at 1:00 pm and is filed under Financial Planning, Tax. You can follow any responses to this entry through the RSS 2.0 feed.

Tags: capital, CGT, EIS, gains, iht, income, inheritance, ISA, Planning, Tax