Top ten tax tips


You may find the following tax tips useful.
  1. Stay informed
    Rely on TaxCentral to provide you with the latest tax information.

  2. Keep all your records
    It has been a legal requirement for you to keep records of your income and expenses for tax purposes since April 1996. Did you realise that you must keep records for at least 22 months after the tax year to which they relate?

  3. Do not pay too much tax
    Is your employer deducting too much tax? Ensure that you are receiving your full pay entitlement using the payslip checker.

  4. Fringe benefits may save you tax
    Fringe benefits, such as a company car, can be a tax-efficient way of being paid rather than a salary increase.

  5. Electronically file your tax return
    Use Internet filing to complete, validate, calculate, and file your tax return for free.

  6. Find a professional tax adviser
    Trapped in your tax return? Professional tax advice can be found quickly and easily.

  7. Choose growth over income
    If you are a higher rate taxpayer, it may pay you to invest in schemes that generate growth rather than income. No tax is payable on capital growth while you hold an asset. Although you will incur a capital gain when you dispose of the investment, you can use your annual capital gains tax exemption to reduce the tax liability.

  8. Maximise your pension entitlement
    Use the pension calculator to see if you have any unused relief that can be contributed to your personal pension.

  9. Do not forget stamp duty
    Remember that you will be charged stamp duty on all purchases of property and shares.

  10. Increase your tax knowledge...
    ...and then test yourself using the TaxCentral IQ test.

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