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Have you heard about IR35 and wondered what it is? Or, maybe you’re a freelancer or contractor who knows a little bit about it but are unsure if it applies to you.

If you want to find out the ins and outs of IR35, let’s look at what it means and how the tax rules around it affect you.

Decoding IR35

IR35, often called ‘off-payroll working rules,’ is tax legislation introduced in the UK in 2000.

Its primary aim was to prevent ‘disguised employment’. This is where individuals who operate like regular employees use an intermediary to be paid for their services, reducing their income tax and National Insurance Contributions (NICs). An intermediary in this instance is often a personal service company (PSC). A PSC isn’t defined in law but is typically a limited company that a worker controls and has some interest in, through which the worker provides their services.

The legislation ensures that if a contractor functions similarly to an employee, they pay roughly the same Income Tax and NICs as employees.

IR35 Changes from April 2021:

Significant changes to IR35 rules were introduced in April 2021 for private-sector employers. Before these changes, it was up to the contractor’s intermediary to determine their IR35 status. Now, for medium and large businesses, it’s the responsibility of the hiring organisation to determine the IR35 status of a contractor.

Whom Does IR35 Affect?

You might be thinking, “Well, I’m not a contractor, so this doesn’t affect me.” However, IR35 has a broader reach. It impacts:

Workers, Contractors and Freelancers – Especially those who provide services via an intermediary (like PSC, a partnership, or even another individual). If you’re partnered with an umbrella company as an employee, IR35 might not affect you directly.
Employers (or Clients) – This includes anyone who uses the services of a contractor. They could be the engager, hirer, or end client.
Agencies – Any entity that helps place workers in roles where they provide their services through an intermediary.

When Does IR35 Kick in?

IR35 rules become relevant when the worker (contractor) who provides services to a client through their intermediary would have been an employee if they provide their services directly to that client.

Who gets to decide if a contractor falls under the scope of IR35 depends on the client’s sector and size:

Public Sector: The client makes the determination.
Private & Voluntary Sectors: Typically, the client decides. However, if the client is a small business, the onus is on the worker’s intermediary.
Agencies: Regardless of size, agencies have specific responsibilities under the IR35 rules.

How Does it Work?

The key is understanding the concept of ‘inside IR35’ and ‘outside IR35’:

Inside IR35: If your working arrangement is similar to traditional employment, you’re ‘inside IR35’. You may need to pay the same tax and NICs as an employee. However, you won’t necessarily receive traditional employee benefits, such as pension contributions or paid leave.
Outside IR35: If your arrangement is genuinely that of a business providing services, you’re ‘outside IR35’, meaning you can be paid gross and manage your own taxes.

If a client determines that a contractor falls within the IR35 rules, they must:

Produce a Status Determination Statement (SDS) detailing the reasons for this determination.
Deduct Income Tax and employee National Insurance contributions from the fees given to the contractor’s intermediary.
Pay Employer National Insurance contributions and, if applicable, the Apprenticeship Levy to HMRC.

Factors Determining IR35 Status

These aren’t the only determinants but are some of the most pivotal:

Supervision, Direction, and Control: How much say does your client have over how, when, and where you complete the work?
Substitution: Can someone else replace you, or are you personally required to provide the services?
Mutuality of Obligation (MOO): Is the client obliged to offer you work, and are you obliged to accept it?

Navigating the IR35 Maze

If you’re puzzled about a worker’s employment status for tax, the government provides the Check Employment Status for Tax (CEST) tool to give you clarity.

Another critical point is that the IR35 assessment is on a contract-by-contract basis. This means a contractor could have multiple assignments, some under IR35 and some outside its ambit.

How Do The Rules Affect You?

Financial Implications: As a contractor, being ‘inside IR35’ could significantly increase the tax and NICs you owe. Some contractors have seen their net income reduced by up to 25%.
Contractual Changes: Companies wary of the IR35 legislation might change how they engage with freelancers and contractors, opting for short-term engagements or using umbrella companies.
Administrative Burden: There’s an increased administrative load, especially for employers who need to determine the IR35 status of every contractor they engage.
Potential for Disputes: As with any tax matter, disagreements can arise over whether a contractor is genuinely ‘inside’ or ‘outside’ IR35. It’s crucial to ensure all contractual agreements are clear and to seek expert advice if you need more clarification.

Understanding IR35 rules: extra tips

The IR35 rules can be complex, so here are our extra tips for contractors affected by IR35:

Keep good records. Keep good records of contractors’ work, including their contracts, invoices and timesheets. This demonstrates they are not your employees and are not subject to the IR35 rules.
Review your contract. If you’re working through a PSC, review your contract to ensure it’s IR35 compliant. If not, you may need to renegotiate the contract with the company.
Get professional advice. If you’re unsure whether the IR35 rules apply to you, always seek professional advice from an accountant or tax advisor. They’ll be able to help you understand the rules and make sure you are compliant.

Here to help

If you’re a contractor, or an employer or agency working with contractors, it’s essential to understand the IR35 rules and how they may affect you.

We hope you found this article useful and that it has helped clear up any questions you have, but if there are areas you’d like more information on, or for any other matters around tax and payroll, we’re always here to help.

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Interest – it’s what you pay for borrowing money and what banks and building societies pay you for saving money with them. The Bank of England Base Rate is the single most important interest rate in the UK and determines and influences many other interest rates, including those you might have for a loan, mortgage, or savings account. If you have a mortgage or loan, a higher interest rate means your payments may go up. If you have savings, that means you may get a higher return. So, not great news for mortgage holders but better news for savers.

The UK’s mortgage market is facing challenges as a result of rising interest rates. The Bank of England has been steadily lifting the base rate since December 2021, with 14 increases from 0.25% in December 2021 to 5.25% in August 2023. Understandably, this has a knock-on effect on mortgage rates, which have been steadily increasing, leading to a worrying time for homeowners.

In this article, we’ll look in more detail at the impact of high-interest rates in the UK’s mortgage market and how it can affect you. Hopefully, it’s of ‘interest’ (see what we did there).

Why have interest rates gone up?

Interest rates are closely tied to inflation, and rates have increased because the UK’s inflation is too high.

Inflation is the increase in the price of something over time. For example, if a loaf of bread costs £1 but £1.05 a year later, then annual bread inflation is 5%. The Office for National Statistics (ONS) tracks the prices of hundreds of everyday items in an imaginary and regularly reviewed “basket of goods” to calculate inflation. Britain has struggled more than other countries with the surging cost of food, a shortage of workers to fill jobs and its heavy reliance on natural gas to generate power and domestic heating, all of which adds to inflation pressure.

Inflation is bad for the economy and hits those who can least afford it the hardest. Raising interest rates is how the Bank of England can help to get inflation back down. The theory behind this is that raising interest rates makes it more expensive to borrow money, meaning people have less to spend, reducing demand and, in turn, inflation.

How high-interest rates affect the housing market

The housing market is intricately linked to the mortgage market, and rising interest rates can lead to a slowdown in both home sales and price appreciation. This dynamic often results in a shift from a seller’s market to a buyer’s market, where buyers have more negotiating power.

Higher interest rates can affect potential homebuyers who were previously on the edge of their borrowing capacity, potentially pushing them out of the market and adding to a decline in demand and increased downward pressure on prices. As a result, sellers might find it challenging to sell their properties at the price they’d like, resulting in longer listing times. Alternatively, sellers might resort to reducing the price of their home. And when the housing sector experiences a slowdown, construction and related industries can also see a knock-on effect.

High-interest rates can also influence the decisions of property investors. With higher borrowing costs, the potential return on investment decreases. As a result, some investors might reconsider buying additional properties or may even sell existing ones. This can impact the supply of rental properties in the market, potentially leading to rental price increases as property owners look to offset and pass on their increased costs.

Another important factor in the housing market is the behaviour of lenders. As interest rates rise, they may become more cautious about lending to potential homebuyers, particularly those with higher risk profiles. Stricter lending standards might be implemented, making it more difficult for individuals with lower credit scores or irregular income streams to secure mortgages. This could create barriers to entry for first-time homebuyers and dampen overall housing market activity.

How high-interest rates affect people with mortgages

If you already have a mortgage, high-interest rates can affect you in several ways:

The affordability of mortgages. As interest rates rise, so does the cost of borrowing, resulting in higher monthly mortgage payments. The impact will vary depending on individual circumstances; for example, people with high LTV (loan-to-value ratios) mortgages will be impacted more than those with low LTV mortgages. Additionally, if you have a variable-rate mortgage, the cost of your repayments is likely to go up straight away. But if you’re on a fixed rate, you won’t see any change until your fixed period ends.
Less disposable income. As interest rates rise and borrowing becomes more expensive, consumer spending can take a hit. When households allocate a larger portion of their income towards mortgage payments, they have less to spend on other goods and services.
The ability to remortgage existing homes. When rates are low, homeowners often refinance to secure lower monthly payments or tap into their home equity. However, this option becomes less attractive when rates are high as consumers have less disposable income. This may lead to people having to sell their homes because they can no longer afford the monthly repayments.
Mortgage defaults. Rising interest rates may lead to more mortgage defaults as people struggle to afford their monthly repayments and default on their loans.

How to deal with rising mortgage interest rates

While rising interest rates undoubtedly cause concern for mortgage holders, several factors may mitigate the impact of high-interest rates.

Government help. There is government help for those who are really struggling, called support for mortgage interest (SMI). This is available to people who receive one of a list of other benefits, including universal credit and income support. For those who qualify, the government pays some of your mortgage interest payments, but in the form of a loan (which must be repaid with interest). Borrowers tend to pay off the loan when they sell the property or when they die.

A growing economy. Another factor that could mitigate the impact of high rates is that the economy is still growing. So, people’s incomes are still rising, which may help them afford higher mortgage repayments.

As well as these mitigating factors, there are also a few ways to stay in control of your mortgage payments.

Budgeting. You can use a mortgage calculator to work out how your monthly payments might be affected and then create a budget and see if there are any areas where you can cut back. If increases are likely in the future, you can start building up a savings buffer so you can still afford your mortgage when they hit.

Contact your lender. If you’re struggling to pay your mortgage, you should contact your lender as soon as possible. Depending on your circumstances, the lender may offer a range of options, such as reducing the amount you pay for a short period.

Overall, the impact of high-interest rates on the UK’s mortgage market is uncertain. The market may slow down, but it’s also possible that government schemes and a growing economy will help mitigate the impact. Only time will tell how the market will react to rising interest rates.

If you’re thinking about buying a home, it’s important to factor in the impact of rising interest rates in the future. Think about your circumstances and how you’ll be affected by higher mortgage repayments. In essence, work out what you can afford now and whether you’ll still be able to afford it if rates rise again.

As always, get in touch if you need to know more, and we’ll be happy to help.

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Filing a tax return isn’t everybody’s idea of fun. But you must get it right and filed on time. While it can seem like a tedious task, you can choose to use an accountant to file your tax return if you don’t have time to do it yourself, you have complex financial arrangements, or you want to make sure that you’re taking advantage of all of the deductions and credits that you’re eligible for. That means you’re not tied up with tax and are free to spend time on the things you’d rather be doing.

If you choose to use an accountant, they’ll need a variety of information from you to file your tax return. This information will help them determine your taxable income and calculate your tax liability. And, perhaps most importantly, show you how to reduce your tax bill.

Read on for a comprehensive guide to what your accountant needs from you to file your tax return successfully. From essential documents and financial records to specific details about your income and expenses, we’ll walk you through the key information that will enable your accountant to prepare your taxes accurately, maximise deductions, and minimise your tax liability.

Information About You and Your Income

Identification information: Your accountant will need your name, address, National Insurance number, and date of birth. They may also need the identification information for your spouse and dependents.

Copy of your most recent tax return: This will help your accountant determine your filing status, income and deductions from previous years, and any credits you may be eligible for.

Wage statements: If you have any employment income on top of your self-employed earnings, you’ll need to provide your accountant with your wage statements from your employer(s). These statements will show your gross income, deductions, and your tax withholding. You’ll also need to provide your P60, or P45 if that employment income ceased during the year, together with your P11d, which outlines any benefits in kind you received from your employment.

Additional income statements: If you have any other sources of income, such as rental income, or investment income, you’ll need to provide your accountant with statements showing this. You must include any bank interest, dividends, and savings interest received during the year (excluding ISAs).

Particulars of your rental property If you own property, you’ll need to provide your accountant with documents showing your rental income, mortgage interest, property taxes, and all expenses relating to the property. These include statements from your letting agent if you use one. Whilst previously there was mortgage rate relief, since April 2020, all buy-to-let landlords must pay tax on the entirety of their rental income. However, they can receive a tax credit worth 20% of their mortgage interest rates.

Private pension payments: You’ll need to supply details of any pension payments you’ve made in the previous year, as these can give you additional tax relief if you qualify.

Information About Your Business

All sales income: You’ll need to provide all your sales invoices for the year or details outlining your daily takings if, for example, you’re a shop that doesn’t issue invoices. One question we are often asked is whether you need to provide invoices that haven’t yet been paid. The short answer is yes; you must provide all the invoices issued in the given tax year.

Proof of expenses: If you’re claiming any deductions or credits, you’ll need to provide your accountant with proof of these expenses. This proof could include receipts, invoices, or other documentation.

Bank statements: Providing bank statements for your business allows your accountant to cross-check everything going in and coming out and acts as evidence of these. While you may only have one business bank account, if you have a deposit account or reserve account, make sure to include these statements too.

Business credit card: You might put everything for your business on a business credit card, and you’ll need to give your accountant these statements. If you occasionally use a personal card to pay business expenses, include these with the business-related costs highlighted.

Loan statements: If you have any business loans, your accountant will need to see the statements. This will mean that the closing balance is included in the accounts correctly and that the correct amount of interest has been included as a deductible expense.

Finance agreements: Provide copies of any new finance agreement contracts signed in the past year. The interest on the payments is tax-deductible, and the asset bought could qualify for the annual investment or other capital allowances.

Petty cash receipts: If your business carries cash, your accountant will need to know how much money is in cash at the end of the year. They need to balance your money, so these records are very important.

Payroll records: Your accountant may operate your payroll, but if not, you’ll need to supply copies of each month’s pay run. This is so your accountant can check to ensure all wage and national insurance amounts are included.

Stock value: If relevant, you must supply a valuation of any stock held at the year-end. This should include information about what it costs, or its value if lower.

Making Tax Digital

In the past, all information was sent to accountants on paper, which, unsurprisingly, was difficult to keep track of. Things would be lost, and a lot of time wasted. Most information can now be supplied online, and as we move closer to Making Tax Digital, you should consider moving to online bookkeeping software. This will automatically organise your records and keep them all in one place. As a result, you won’t need to worry about missing anything, and it also means you can give your accountant access to your online records throughout the year.

At Norwich Accountancy, we offer clients access to and full training on Xero, the online cloud-based accounting software for small and medium-sized businesses.

All in the timing

The deadline for sending your online self-assessment tax returns to HMRC and paying any taxes owed is 31st January each year for the previous tax year. So, on the 31st of January 2024, you’ll have submitted all your information for the tax year from the 6th of April 2022 to the 5th of April 2023.

If you have chosen to use an accountant to file your taxes, getting everything in order well ahead of these deadlines will give you plenty of time to plan for any tax liabilities. If you need help completing your tax return, get in touch or contact us online here. After all, we’re all about tax returns, stress deducted.

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If you’ve been asked for your UTR number but don’t know what it means, you’re not alone. Perhaps you know it’s the number printed on a bit of paper somewhere at the back of a cupboard and have never given it much thought. Maybe you want to know how it’s used and why. From self-assessment to registering for the Construction Industry Scheme (CIS), your UTR is an important component of our UK tax system. Find out what it is, why you need it, and what to do if you’ve misplaced yours.

What is a UTR?

A Unique Taxpayer Reference (UTR) number is a 10-digit identification number used by HMRC (now His rather than Her Majesty’s Revenue and Customs) to identify you as a taxpayer. It does what it says on the tin; it acts as a unique identifier for tax purposes and helps HMRC keep track of taxpayers and their tax-related activities. Your UTR number is sometimes called your tax reference.

Why do I need a UTR?

Your UTR number is essential for HMRC to identify and communicate with you regarding tax matters. Whether claiming a tax rebate or filing a Self-Assessment return, your UTR ensures the taxman (or woman) knows who they’re dealing with.

Who needs a UTR?

If you’re self-employed you must register with HMRC to fulfil your tax obligations. Once registered, you’ll receive a personal UTR number, which you’ll use to file your annual self-assessment tax return. Like your National Insurance number, your UTR stays with you for life.

For those working in the construction industry as subcontractors, you’ll also need a UTR to register for the Construction Industry Scheme (CIS). The CIS deducts money from a subcontractor’s payments and passes it to HMRC. While contractors must register for the scheme, it’s not mandatory for subcontractors. However, if you don’t register deductions are taken at a higher rate.

When setting up a limited company, you’ll receive a company UTR number to register for and pay Corporation Tax.

Where can I find my UTR?

Once you’ve registered for Self Assessment, your UTR will be sent to you by post within 10 days. However, you can also find it in your Personal Tax Account or the HMRC app, and it’s likely to be available there before it arrives by post.

If you’ve set up a limited company, you must register the company with Companies House. Your company UTR will be posted to your company address within 14 days of registering.

The HMRC app

The HMRC app is a handy tool for keeping track of all your personal taxes. As well as telling you your personal UTR number, you can also use the app to check:

Your tax code and National Insurance number
Your income and benefits
Tax credit information
How much self-assessment tax you owe

You can also use the app to:

Estimate the tax you need to pay
Make a self-assessment payment
Track forms and letters sent to HMRC
Claim any refunds due
Update your address

Download the app here

What if I lose my UTR number?

If you misplace your personal UTR number, don’t worry. You can always retrieve it from your Personal Tax Account, the HMRC app, or on previous tax returns and other HMRC documents. If you have trouble accessing any of these resources, you can use the Government’s Self-Assessment chat function and ask for help. This chat function is a useful resource for anything related to self-assessment, and you can find it here.

If you need a copy of your Corporation Tax UTR, you might find it in your online business tax account or previous letters from HMRC. If those options don’t work, you can ask HMRC to send a copy by post to your company’s registered address. To use the request service, you’ll need your company registration number and your registered company name.

Both personal and company UTR numbers are vital for HMRC to identify taxpayers and handle tax matters efficiently. Without a UTR, you won’t be able to file your tax returns, and you may find them chasing you once payment deadlines pass.

Tax comes hand in hand with many codes and acronyms, so we hope you’ve found this article useful and that it’s answered everything you need to know about Unique Taxpayer Reference numbers. As always, if you need to know more, get in touch, and we’ll be happy to help.

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If you’re self-employed in the UK, you may want to pay Class 2 National Insurance (NI) contributions. You may be wondering why anyone would want to hand over their hard-earned cash if it’s not legally required, but your contributions mean you’re eligible for benefits like State Pension, which we’ll cover in more detail below.

Who Needs to Pay Class 2 National Insurance?

You’ll need to pay Class 2 NI if your profits from self-employment are above the Lower Profits Limit. For the 2023/24 tax year, the Lower Profits Limit is £12,570. But if your profits are below this amount, for example, you’ve just started out, have returned from maternity leave or perhaps you’ve gone part-time, you don’t need to pay any Class 2 NI contributions.

What Are the Benefits of Paying Class 2 National Insurance?

Whilst Class 2 NI contributions aren’t mandatory, there are lots of good reasons why you should keep them up:

The age at which you become eligible for a State Pension depends on what year you were born but as a general rule, it’s currently 66.
At some point, you may need and be eligible for benefits, such as unemployment benefits or maternity allowance as long as you’ve been self-employed for 26 weeks in the 66 weeks before your due date.

Paying Voluntary Class 2 National Insurance

Even if your profits are below the Lower Profits Limit, you’re still able to pay voluntary Class 2 NI contributions to make sure that you’re eligible for the State Pension and other benefits should you need them.

How Much Do You Pay?

Currently, the amount of Class 2 NI you’ll need to pay is fixed at £3.45 per week for the 2023/24 tax year.

When Do You Pay?

Most self-employed people pay their Class 2 NI contributions through their annual self-assessment tax return.

How to Pay Class 2 National Insurance Contributions

Class 2 NI contributions can be paid online, by phone or by post. To pay online, you’ll need to create an account on the HMRC website. To pay by phone, just call HMRC’s self-assessment helpline. To pay by post, download a payment form from the HMRC website.

More on State Pension

As we mentioned above, one of the biggest benefits of voluntarily keeping your Class 2 NI contributions up to date is being eligible for the State Pension when you reach the right age.

The State Pension is a government-funded payment to people who have reached retirement age and provides them with an income for the rest of their lives. The amount of State Pension you receive depends on the amount of National Insurance contributions you’ve previously paid. If you don’t have enough ‘qualifying years’, you may not be entitled to the full State Pension when you reach retirement age and will have to fund your living expenses (and the things you like to do) some other way.

Mortgage matters

Plus, depending on your age, such as if you’re applying when you’re above retirement age, if you don’t have enough of a State Pension then it can affect your ability to get a mortgage. This is because lenders will want to see that you have enough income to meet your mortgage repayments. If your State Pension isn’t enough to cover your monthly payments, you may need another source of income, such as a personal pension or a part-time job.

Lenders will also consider your age when they assess your mortgage application. If you’re coming up to retirement age, they may be more cautious about lending to you and wonder whether you’ll be able to work and earn an income in the future.

Some lenders will ask for confirmation of your Class 2 NI contributions. In these situations, they’ll ask to see your copy of your confirmation and that of HMRC to make sure the details match. If they don’t, it may delay the process.

So, if you’re self-employed, it’s important to understand your Class 2 NI obligations to make sure you’re paying the correct amount and reap the rewards of keeping them up to date when you need them.

Important point on pensions

If you’ve received any correspondence from HMRC regarding tax amounts stating a figure that’s different to what you’ve been told by your accountant, let them know immediately because it could be linked to the Class 2 State Pension.

We hope this blog has been useful but if you’ve any questions about Class 2 National Insurance, please get in touch.

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We not only make sure you pay the right taxes by the right deadlines but help you pay as little tax as possible. Capital Gains Tax (CGT) is a tax on the profit you make when you sell an asset that has increased in value, but some assets that are exempt from CGT in the UK, including:

Your main home. You don’t pay CGT on any gains you make when you sell your main home if you have one home and you’ve lived in it as your main home for all the time you’ve owned it.
Personal possessions. You don’t pay CGT on gains you make when you sell personal possessions, like furniture or jewellery, up to your annual exemption of £6000. This means that you don’t pay CGT on gains up to this amount, but you do if you’re lucky enough to be the owner of a Banksy and decide to sell for example.
Assets held in an ISA or a SIPP. You don’t pay CGT on gains you make when you sell assets held in an ISA or a SIPP. ISAs and SIPPs are tax-efficient savings and investment accounts.
Certain business assets. If you’re self-employed or run a business, you may be able to claim relief from CGT on gains you make when you sell certain business assets, including goodwill and intellectual property.

If you’re unsure whether an asset you’re selling is exempt from CGT, we can help you work out whether you have to pay CGT and what you’ll have to pay.

Extra tips about CGT and assets

Check out these extra tips to help you keep on top of any potential CGT tax liabilities:

Keep good records. It’s important to keep good records of all of your assets, including the date you bought them, the amount paid and any improvements you’ve made to them. This helps you calculate the gains when you sell the asset and makes sure you don’t overpay CGT.
Report your gains. If you sell a residential home subject to CGT, you must report the gains to HMRC within 60 days.

If you’re unsure about CGT, always seek professional help. We can help you calculate your gains, show you how to report them to HMRC and make sure you’re not paying more than you need to.

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Getting your head around tax can be overwhelming and you may be tempted to bump it to the bottom of your to-do list. But, as this could mean you end up paying more than you need to, it’s important you take the time to tackle your tax. So, we’ve put together our top tips on making sure you’re not overpaying tax in the UK.

Understand your tax code. This is your personal tax code; the number tells your employer how much tax they need to deduct from your pay. If you’re unsure of your tax code, you’ll find it on your payslip or your personal tax account. Alternatively, contact HM Revenue and Customs (HMRC), and they can tell you.
Claim all your tax breaks. There are lots of well-known and lesser-known tax breaks available for UK taxpayers, such as the personal allowance, the married couple’s allowance and the child tax credit.
Make use of tax-efficient savings and investments. UK taxpayers may be eligible for certain tax-efficient savings and investments, like ISAs, pensions and National Savings & Investments (NS&I) products.
Get professional help if you need it. If you’re unsure about anything to do with tax, whether you’re self-employed, employed or the owner of a business, we can help you understand your tax obligations. We can make sure you’re not paying you more than you need to so you’ll have more money to spend on growing your business.

Extra tips to avoid overpaying on your tax

Here are some extra tips that may help you reduce your tax bill:

Gift money to charity. Donations by individuals to charity or to community amateur sports clubs (CASCs) are tax free.
Make a pension contribution. Top up your pension fund and get tax relief on your contributions. You’re allowed to save up to £60,000 per year into a personal pension in the UK.
Invest in shares. Think about investing in shares through a stocks and shares ISA or a SIPP. These investments can grow over time and potentially provide you with a tax-free income in retirement.
Take advantage of tax breaks for businesses. If you’re self-employed or run a business, take advantage of the tax breaks available. These can help reduce your tax bill so you can keep more of your hard-earned money.

As you can see, there are lots of ways to make the most of your money when it comes to reducing the amount of tax you have to hand over. If you’re finding your tax complicated or don’t know what tax breaks might apply to you, for example, get in touch today.

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