One Formula LLP are a company that combine the skills of a financial advisor, city trader, insurance advisor, ex-Wales international rugby player and a former police officer. With a proven track record and boasting super-rich footballers from Manchester City and Manchester United among their clients, the Manchester-based financial firm are here to offer you guidance on how to save money on tax. In the previous post, the tax efficiency experts looked at some of the easiest ways to reduce your tax bill. In this post, they’ll be offering some less obvious but potentially equally rewarding options for you to pursue.
Self-assessment? Don’t Miss the Deadline
Annually, around twelve million people are required to submit a self-assessment tax return. If you’re one of those, be sure not to miss the deadline. You will incur an automatic fine of £100 if you do, regardless of whether or not you owe any tax.
If your income drops unexpectedly during the tax year or you are not a taxpayer, you may be eligible for overpaid taxes. Fill out an R40 form from HMRC or contact them directly.
Under the tax-free childcare scheme you can claim back a quarter of your childcare costs up to a value of £500 for every three month period. Eligibility criteria for the scheme include having a child under the age of eleven and earning less than £100,000.
Low Emission Car
With legislation prohibiting diesel and petrol vehicles set to be in place within a matter of years, why not make the switch early and save on vehicle tax at the same time? Low-emissions vehicle are taxed at a lower percentage of their list price than cars with a high carbon dioxide rating.
For the 2019-2020, the ISA allowance permits you to deposit up to £20,000 into an ISA account. Make the most of this allowance to enjoy tax free savings and/or tax free investments.