While the New Tax Year may not be celebrated as eagerly as 31 December, the 6 April still marks an important time to look back on the previous year and make some resolutions. We’ve picked out some top tips on how you can maximise the benefits of the new financial year.
Make use of your ISA allowance
Millions are lost each year through taxed savings as people do not make use of their ISA allowance. In the 2017/2018 tax year the total ISA allowance increased to £20,000, which can be spread across Lifetime, Stocks and Shares ISAs or SIPPs. Once the new tax year is here you will lose your allowance for the previous year, so if you can make sure you open an ISA before midnight on 5 April to claim your tax-free savings.
Make the most of Research & Development
There was good news for large companies in the Autumn Budget as the Chancellor increased the RDEC tax credit from 11% to 12%. This means that for an estimated spend of £250,000 you could receive an estimated tax credit of £24,300.
Moving your records from paper to digital can be quite daunting but with Making Tax Digital (MTD) launching in April 2019 there has never been a better time to look at a digital accounting system.
At the Bailey Group we are working with QuickBooks to help our clients get ready for this change, if you’d like to find out more about QuickBooks or Making Tax Digital click here.
Meet your deadlines
Preparing your records and getting your tax returns done on time will not only mean you will avoid unnecessary fines you will also have a better idea of where you business is at. Any one who has ever spent the final days before a deadline trying to find lost receipts will know how stressful it can be, start as you mean to go on this year, create a timetable with all your deadlines and make a plan for each one.
If you’d like to find out how we can help you make the most of the new tax year, get in touch with us here.