2013-14 Tax Rates
Another Budget has come and gone after weeks of press talk about avoidance, austerity and triple-A ratings. So was George Osborne able to pull any surprises out of his Chancellor’s bag of tricks?
Many of the figures are fundamental to our business and personal lives and the main ones are summarised in our tax card. We are sure that you will find it a useful point of reference throughout the coming tax year and below we have listed just a few examples of how it can be used.
To quote Plato ‘When there is an income tax, the just man will pay more and the unjust less on the same amount of income’, an appropriate quote with all the talk of avoidance! Our tax card contains lots of information to reduce those misunderstandings! Such as:
Personal allowances
A number of changes have taken place to the personal allowances over recent years, including large increases in some and the freezing of others. Make sure you know the current state of play.
Asset sales
If you sell an asset such as land, capital gains may be due. Our tax card highlights the main rates and reliefs so that you can consider the tax bill that may arise.
Rates for businesses
If you run a business, obtaining the right allowances on equipment that your business buys can affect the tax that your business has to pay each year. There are a number of major changes this year, including potentially more relief for businesses on certain equipment but less on certain cars, so our tax card highlights the main allowances that are available.
Rates for employees
This is always an area that is close to peoples’ hearts. Am I paying the right amount of tax?
Benefits that employees’ receive from their job, like company cars and fuel, affect the tax that they pay. There are a number of changes to the company car regime again this year, so our tax card explains how these are computed to help ensure that you are paying the correct amount of tax.
Travel is a daily part of business life. If you drive your own car on business, HMRC allow certain tax free mileage allowances to be paid. If you are paid less than these rates, you may be entitled to a tax refund. Our tax card highlights the rates.
Rates that affect us all
Long term planning for a comfortable retirement can never start too early. Our tax card explains how much can be contributed to an approved pension scheme each year tax efficiently.
Our tax card contains the main inheritance tax rates and exemptions but early planning can mitigate these tremendously. For example, a bit of simple tax planning can often make a world of difference - getting the right Will in place could save your family £130,000!
Our tax card is intended for use as a quick point of reference. Should you require any further information, have a simple question or require detailed advice we are only a phone call away.
8 April 2013
