Maximising Tax savings by having a tax efficient salary and dividends strategy : A directors salary remains a tax efficient way to extract income from a limited company for most directors, accompanied by dividends . Whether a directors salary is the right choice, and at what level, will depend on your individual circumstances, it is therefore highly recommended to speak to an accountant or tax advisor to ensure you are set up in the best way for you! Assuming a director has only one source of...

What is Making Tax Digital? Making Tax Digital (MTD) is an initiative from HMRC to move all tax administration online and will gradually become mandatory for all individuals and businesses. MTD was introduced for VAT-registered businesses with taxable turnover above the VAT threshold (£85,000) in April 2019 and expanded to all VAT-registered businesses regardless of turnover in April 2022. The next phase is Making Tax Digital for Income Tax Self Assessment: From April 2026 , it will apply to...

The Budget 2025 has been announced, but what does that mean for Small business Owners and Individuals - lets explore the key take aways : Sole Traders, Partnerships and Individuals Income tax thresholds and bands frozen (and continue to be frozen until April 2031) Income tax rates on dividend income rise from 8.75% to 10.75% (basic rate) and from 33.75% to 35.75% (higher rate); additional rate remains 39.35% Confirmation of the introduction of Making Tax Digital for Income Tax Self-Assessment...