Students Of Success

With the tax year end in April, it’s a good idea to look at ways you can take advantage of tax breaks that are available to you. Here are some tips for you can follow to help you save money:

1) Ensure you have used up your ISA entitlement

An ISA basically allows you to shelter your investments from tax. There are many things you can put in an ISA, including cash and equities. You are entitled to £7000 per annum in an ISA, so a couple has £14,000 they can use up this year in total.

2) Submit your Tax Return On Time

Failure to do so will result in a fine of £100. That’s £100 you can put towards other things, so make sure you’re on time.

3) Ensure Your Tax Code Is Correct

You are allowed to earn a certain amount before you become subject to paying income tax. It’s worth checking yours is correct. There is a tax calculator on our site if you would like to do this.

4) Use Up Your Capital Gains Tax Allowance

Or in other words, bank some profits before year end. Make sure you use up this years CGT allowance or you will lose it. If you have made a nice profit from stocks held outside of and ISA then take some profits to avoid a tax bill later.

5) Watch The Budget

Every year the chancellors budget has an impact on what applies to individuals and how much tax they have to pay, depending on their circumstances. Keep an eye on what new stealth taxes are introduced as well as tax on every day luxuries/necessities such as petrol, alcohol and tobacco.

Article by Jim Richardson of http://www.tax-calculator-information.com (The Tax Savings Calculation Resource)