Preparing for the end of the 2023/24 tax year


As 5th April is approaching it is worth checking if you have utilised your tax allowances for the 2023/24 tax year:

Personal allowance – if you have been receiving a salary or regular income in excess of the current personal allowance of £12570 then you are likely to have used this but if not and you would like to find out if this could be utilised give us a call!

Dividends allowance – is currently £1000 before you need to pay tax on your dividends

Capital gains tax – the allowance is £6000 for the current tax year, this will reduce on 6 April 2024 to £3000 so if you are thinking of selling some shares or assets it is worth considering the timing

Pensions – do you want to pay a pension payment before the end of the tax year, this could reduce your taxable income, normally tax relief can be obtained up to 100% of your income.

Gift aid – if you would like to make a donation to charity under gift aid, the charity can claim the £20 tax back from HMRC and higher rate tax payers can claim 20% tax relief (additional rate tax payers 25%)

ISA allowance – individuals can save up to £20,000 a year in to an Individual Savings Account (ISA), there are Cash ISAs and Stocks and Shares ISAs for longer term saving. If you are saving for children you can contribute up to £9,000 in to a Junior ISA (JISA) or in to a child trust fund.  As announced at the Spring Budget 2024, the Government will introduce a new British ISA with its own allowance of £5,000 a year. The Government will consult on the details at a later date. This will mean that someone could invest £20,000 in to any ISA, £5,000 in to a British ISA and £9,000 in to a children’s ISA per child.

Inheritance tax –  gifts of £3000 annual gift exemption is available to make a gift tax free each tax year,  if you haven’t used the previous year this can also be used.


Castletons Accountants

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