Income Tax

Many people simply accept that income tax is an inevitable consequence of receiving income. However, the rate of income tax payable should not necessarily be accepted or taken for granted, particularly for higher earners where income tax liabilities can become quite significant.

There are, for example, a number of investment options that can reduce income tax liabilities. The most obvious of these is pensions and with most private individuals now able to invest up to 100% of their UK earned income into a pension, subject to the annual allowance, there is scope for those with higher levels of disposable income to significantly reduce their income tax bills.

It is important, however, to recognise that investment decisions should not be made primarily to reduce income tax, if the selected investments are not appropriate as part of the individual's overall finances. Investments that offer tax advantages are often higher risk or provide limited liquidity.

For many individuals income tax liabilities can be reduced by straightforward financial planning techniques such as re-organising existing finances or utilising available allowances.

• Wealth Management
• Taxation
• Mortgages
• Pensions
• Inheritance Tax
• Income Tax
• Capital Gains Tax
• Professional Introducers