Top tax planning tips for individuals

Are you making the most of tax reliefs and allowances to make your personal tax as efficient as possible? We outline areas for consideration here:

Inheritance Tax & Capital Gains Tax planning
It’s never too soon to distribute assets and minimise IHT. Transfer items that are IHT-exempt and remember your deeds of variation. Assets transferred to a spouse are CGT-exempt and transferring into joint names is tax efficient.

Personal allowance
Additional rate taxpayers making personal pension contributions, salary sacrifice and gift aid donations preserve their personal allowance and reduce additional rate tax paid. Income tax reductions can be made by investing through tax efficient schemes. 

Make the most of a spouse’s tax allowance if you are a higher rate payer and plan carefully for your jointly owned property income.  

It may be worth claiming tax credits, especially if self-employed. Plus, child benefit for those earning over £50,000 must be repaid, so utilise gift aid donations and pension contributions.

Don’t fall foul of the statutory residence test and elect just one of your properties as your main residence. 

Want to find out more? Read our full article here.