End of Tax Year Planning

There have been several significant changes over the last couple of years and therefore some important actions are required before the end of current tax year as well as a number of planning opportunities that will take effect from 6^th April 2016.

To help you plan; under the various headings below, we have listed just some of the individual areas that you may like to consider;

Pension funding & income planning

• Have you utilised your full annual allowance?
• If so when did you make this contribution, if before the 8^th July 2015, you may have a further one off allowance available?
• Have you considered the use of ‘carry forward’ where possible?
• Are you claiming the appropriate tax relief on the contributions that you are paying?
• If you are taking an income from your pension are you aware of the potential reduced annual allowance?
• If you are a higher earner are you aware of the reduced annual allowance starting in the new tax year?
• If you are considering starting to draw an income from your pension have you considered the most tax efficient method appropriate?

Investment Planning

• Have you utilised your full ISA allowance in the current tax year?
• Have you considered utilising your spouse’s / partners or even your children’s ISA allowance?
• Do you have any capital gains that you could utilise within your annual CGT allowance?
• Do you have capital losses that you could use to offset other gains and / or carry forward these loses to a future year?

Inheritance tax planning:

• Have you used your £3,000 annual gift allowance?
• If yes, have you used last year’s annual gift allowance?
• Have you used the £250 small gift allowance?
• Have you made any other gifts?
• Have all of the these gifts you’ve made been recorded anywhere?
• Are any life policies that you hold held in ‘Trust’?
• Do you keep an accurate record of your annual income & expenditure?

General Tax Planning:

• At the start of the new tax year, there are new allowances that will provide potential for some additional tax free income, have you considered how to take advantage of these?
• Have you made any gifts to registered Charities?
• If so, make sure you keep a record of these gifts and that they are reported on your Self-Assessment tax return where applicable.

For clarification of any points discussed above and any future independent advice regarding your own financial planning, please do contact us on 01626 833225 or email [email protected]

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Important Information
The views and opinions contained herein are those of Loughtons Independent Financial Advisers and may not necessarily represent views expressed or reflected in other economic communications, strategies or funds.

This document is intended to be for information purposes only and it is not intended as promotional material in any respect. The material is not intended as an offer or solicitation for the purchase or sale of any financial instrument. The material is not intended to provide, and should not be relied on for, accounting, legal or tax advice, or investment recommendations. Information herein is believed to be reliable but Loughtons Independent Financial Advisers does not warrant its completeness or accuracy. No responsibility can be accepted for errors of fact or opinion. This does not exclude or restrict any duty or liability that Loughtons Independent Financial Advisers has to its customers under the Financial Services and Markets Act 2000 (as amended from time to time) or any other regulatory system.

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