It is a strange thing for HMRC to do considering their role is to administer payment of taxes rather than offer financial help, however, the checklist is really useful for many, especially those who do not have an accountant or other agent to help them out.
Here are the highlights:
HMRC's list does not talk about the High-Income Child Benefit Tax Charge (HICBC) or how, in certain circumstances, it's beneficial to claim child benefit, but elect not receive it. It's certainly worth looking into.
Tax free childcare
There's a distinct lack of take-up of this benefit. It is a state benefit available to many parents and can be used to cover both after school care and during school holidays as well as for childminders, nurseries and nannies.
Tax relief on employment expenses
Claiming tax relief on employment expenses has recently improved dramatically and should be the first port of call before considering using a paid-for claims company.
Transferrable marriage allowance
Another allowance that generally goes unclaimed by many who are entitled. It can be sensitive to small changes in circumstances so this allowance should be reviewed regularly.
Help to save
Help to Save is available to those claiming Universal Credit or Working Tax Credits as it is unlikely they will have spare funds to save. Not a big surprise so few people have taken up this offer.
Payment of tax in installments
HMRC is generally very amenable to payment of tax via installments. Where possible, it is best to speak to HMRC first to set up a Time to Pay arrangement.
So, there are a number of allowances and reliefs you can take a look at, but also remember to check your tax codes, file your returns as soon as possible, claim blind person's allowance where necessary, ensure your pension contributions are correctly claimed for, and remember your gift aid contributions.
And finally, look at your National Insurance contributions to ensure you'll get full benefits when you retire.
Until next time ...
ROGER EDDOWES Business Godparent
Would you like to know more?
If anything I've written in this blog post resonates with you and you'd like to discover more about the financial support on offer from HMRC, it may be a great idea to give me a call on 01908 774320 and let's see how I can help.
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Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.
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