Topical Tax Issues Autumn 2023

Written By Richard Clarke

This blog considers some tax issues to be aware of now that summer is over and winter is on the way!

Individuals

  • Dividend allowance: Are you aware that the dividend allowance reduced to £1,000 from 6 April 2023 and is due to reduce to £500 from 6 April 2024?

  • State pension top up: Should you be thinking about making voluntary national insurance contributions to increase your state pension entitlement while there is an opportunity to do so? 

  • Overpayment relief: Have you overpaid income tax in previous years and are you aware that you need to submit an overpayment relief claim within 4 years?

Businesses

  • Basis period reform: Have you thought about the tax implications of basis period reform, and do you have a record of the overlap profits to claim for 2023/24?

  • Business deductions: Have you reviewed your business expense claims recently and is there scope for claiming further costs such as for a home office?

  • Extraction of profits: Does the method of extracting company profits need to be reviewed following the tax changes (including corporation tax) from April 2023?

Landlords

  • Business structure: Do you need to review the structure of your property business and is it time to consider incorporation or a transfer into joint names?

  • Let Property Campaign: Do you have undeclared rental profits and are you aware that these can be disclosed to HMRC through the Let Property Campaign?

  • Furnished Holiday Lettings businesses: Are you impacted by the changes to the holiday lettings rules in Scotland and have you considered the tax implications for your business? 

Families

  • IHT (inheritance tax) efficient gifts: Is it time to start making gifts to family and utilise the annual £3,000 and ‘normal expenditure out of income’ exemptions.

  •  Pension contributions: Are you aware of the changes to the allowances from 6 April 2023, including the increase in the annual allowance to £60,000?

  •  CGT (capital gains tax) annual exemption: Do family members utilise their exemption and are they aware that it is reducing to £3,000 from 6 April 2024?

Richard Clarke
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