As the tax year draws to a close, it’s essential to review your finances and take advantage of available tax-saving opportunities. In this informative article, we’ll explore various strategies to maximise your tax allowances before the April 5 deadline.
With less than a week left in the tax year, now’s the time to make the most of your tax-free allowances. Here’s how you can maximise your savings before April 5:
- Utilise your personal allowance of £12,570 to earn income tax-free.
- Take advantage of the dividend allowance, allowing the first £1,000 of dividends tax-free.
- Make use of the personal savings allowance, exempting the first £1,000/£500 (for basic/higher rate taxpayers) of interest from tax.
- Consider capital gains tax exemptions, with up to £6,000 of gains tax-free.
- Invest in ISAs to benefit from tax-free growth, income, and gains, with up to £20,000 annual allowance.
- Contribute to your pension, benefiting from tax relief and reducing your taxable income.
- Explore salary sacrifice options to lower your tax liability and increase pension contributions.
For tailored advice on maximising your tax allowances, contact the business growth experts at Morgan Reach today.
