Nigel Gorski Consulting - Chartered Accountant & Business Consultant
  • Home
  • Accounting
  • Tax
    • Digital Tax
    • Business Tax
    • Personal Tax
  • Planning
  • Training
  • About
    • Contact
    • Testimonials
    • The Small Print
  • News
  • Privacy
  • Home
  • Accounting
  • Tax
    • Digital Tax
    • Business Tax
    • Personal Tax
  • Planning
  • Training
  • About
    • Contact
    • Testimonials
    • The Small Print
  • News
  • Privacy

Personal Allowances & National Insurance

11/24/2016

1 Comment

 
PicturePhoto by Damir Spanic on Unsplash
​
​The point at which people will pay income tax rises to £11,500 for 2017/18 which is some £500 higher than the current year. 

From April 2016, spouses and civil partners may transfer £1,150 of their personal allowance to each other.  The point at which people pay higher rate tax has risen and will be £45,000 for 2017/18.
 
The thresholds at which people pay National Insurance have not risen as significantly so employees can still expect to pay National Insurance even if there is no tax to pay – this will kick in at £157 per week (£8,164 per annum).  The Employment allowance continues at £3,000.  This excludes single director / employee companies who can't claim it.
 
Class 2 National Insurance continues to be collected as part of the Self Assessment process and will be abolished from 6th April 2018.  National Insurance entitlement will be included in the Class 3 or 4 contributions.  The Chancellor made reference to self employed individuals not paying equal taxes and it now would appear highly likely that the rate of Class 4 National Insurance could increase to 12% to align with employees.
 
There are no changes to the new dividend tax and several references were made to ‘tax driven incorporations’ and ‘disguised employment’ so we can expect to see more HMRC activity in this area.

1 Comment
Roy E link
2/5/2021 03:59:37 am

This was a lovely blog post

Reply



Leave a Reply.

    Nigel Gorski

    Say it as it is and you'll never be misunderstood. Here in the Blog you'll see news posts on many topics of interest to your and your business...

    Archives

    November 2020
    June 2020
    March 2020
    December 2019
    August 2019
    March 2019
    October 2018
    March 2018
    November 2017
    October 2017
    September 2017
    March 2017
    February 2017
    November 2016
    October 2016
    August 2016
    May 2016
    April 2016
    March 2016

    Categories

    All
    2015
    2017
    2020
    Accountancy
    Advice
    Allowances
    Budget
    Business
    Christmas
    Claim Allowances
    Company
    Company Accounts
    Company Vehicles
    Directors
    Dividend
    Flat Rate
    Gift Aid
    HMRC
    Income
    Inheritance Tax
    Interest
    Investment
    Let
    Lettings
    National Insurance
    Party
    Personal Allowances
    Property
    Self Assessment
    Self Employed
    Tax
    TAX Rate
    Tax Returns
    Trivial Benefits
    Vans
    VAT

    RSS Feed

© Nigel Gorski Consulting 2016, Nigel Gorski BA ACA (Sole Practitioner), 23 Hollinwood View, Bingley, West Yorkshire, BD16 2EF
Telephone: 
07980 270610