YOUR TAX SHOP 2018/19 TAX FACTS

YOUR TAX SHOP 2018/19 TAX FACTS


ISA Limits

Overall Limit
ISA 2017/18 £20,000
Junior ISA / Child Trust Fund 2017/18 £4,128

 

Did You Know… Since April 2015, the spouse/civil partner of a deceased ISA saver has an additional ISA allowance equal to the value of the deceased’s ISAs at the date of death.

Income Tax Rates

  Tax Band
Basic rate: 20% £0 – £33,500
Higher rate: 40% £33,501 – £150,000
Additional rate: 45% Over £150,000

 

Main Income Tax Reliefs

Allowances 2017/18
Personal allowance £11,500
Marriage allowance £1,150
Personal allowance income limit £100,000
Dividend allowance £5,000
Personal savings allowance £1,000

 

Did You Know… You can pass 10% of your personal allowance to a spouse if neither of you earn over the basic rate threshold (up to £33,500).

Corporation Tax

Year to the 31st March 2017 Year to the 31st March 2018
20% 19%

 

Did You Know… You can hugely reduce your Corporation Tax bill by making company pension contributions where appropriate (advice can be provided by an Independent Financial Adviser – why not discuss this with our in-house financial advisor Gary today?!)

 

Land & Buildings Transaction Tax (Stamp Duty)

Residential Property 2017/18
The price of the purchase price falling within:
£0 – £125,000 0%
£125,001 – £250,000 2%
£250,001 – £925,000 5%
£925,001 – £1,500,000 10%
Over £1,500,000 12%

 

Did You Know… From April 2016, a 3% surcharge applies to additional residential properties worth £40,000 or more. This makes buying new Buy-to-Let properties less attractive.

Inheritance Tax

Chargeable transfers 2017/18
Standard nil-rate band £325,000
Residence nil-rate band (available only on death, subject to conditions) £100,000
Tax on excess value of chargeable transfer on death and lifetime transfers made within 7 years of death 40%
Tax on excess value for chargeable transfers on death where 10% or more of net estate left to charity 36%
Tax on excess value for other chargeable lifetime transfers 20%

 

Did You Know… The new Residence nil-rate band became active in April 2017 and now means that a couple could have a joint nil rate band effective of up to £850,000, rising to £1m by 2020.

Auto-enrolment Contribution Requirements

Contribution Employer Employee
From Staging until October 2017 1% 1%
From October 2017 2% 3%
From October 2018 3% 5%

 

Did You Know… If you employ anybody, even just one person, then you must make them aware of their options for a workplace pension.

If you need any help or advice please do not hesitate to contact one of the team at Your Tax Shop on 0161 339 5689.