Tax relief

[MarillionFan]

Advice needed.

Presently permie and will shoot through the additional tax rate band this year. Ideally would like to reduce tax liability as much as possible. As I cannot do dividends any ideas

So far, pumping cash into my pension fund is the best I have to reduce. What else is there?

[Scruff]

Advice needed.

Presently permie and will shoot through the additional tax rate band this year. Ideally would like to reduce tax liability as much as possible. As I cannot do dividends any ideas

So far, pumping cash into my pension fund is the best I have to reduce. What else is there?

Not a lot, other than resign and join the rest of us Contractor SCUM again? Does your company offer any type of deferred compensation scheme, ie Sharesave?

[Maslins]

Not a lot really. What salary sacrifice options does your employer offer and are any of interest to you?
- Childcare vouchers?
- Cycle to work scheme?
- Some kind of share scheme?
- Gift aid donations?
- Plus pension like you suggest.

[Craig at Nixon Williams]

In addition to the suggestions above, you could consider investments in companies that qualify for the Enterprise Investment Scheme or invest in a Venture Capital Trust. In both these cases, 30% of what you invest would be deducted from your tax liability (though you cannot claim relief for more tax than has been paid). These investments can therefore save an enormous amount of tax; however they also tend to be very risky. If you were considering this type of thing then you definitely need to speak to a Financial Advisor…

Hope this helps!
Craig

[MarillionFan]

In addition to the suggestions above, you could consider investments in companies that qualify for the Enterprise Investment Scheme or invest in a Venture Capital Trust. In both these cases, 30% of what you invest would be deducted from your tax liability (though you cannot claim relief for more tax than has been paid). These investments can therefore save an enormous amount of tax; however they also tend to be very risky. If you were considering this type of thing then you definitely need to speak to a Financial Advisor…

Hope this helps!
Craig

Thanks Craig, that was the only other thing I could think of.

My other option was to also register as self employed and re-open a loss making shop paying my wife a high salary. But going to be peanuts.

[Craig at Nixon Williams]

My other option was to also register as self employed and re-open a loss making shop paying my wife a high salary.

I would never advise someone to do this as you would be creating an artificial situation for the purpose of avoiding tax – if HMRC looked into this arrangement then the loss would not be allowed in your income tax computation.

Look into the other suggestions that have been put forward already.

Craig

[mudskipper]

Give it to charidee.

[MarillionFan]

Give it to charidee.