The Autumn 2025 Budget confirmed that employees who are required to work from home will no longer be able to claim tax relief for extra household costs. Right now, under section 336 of the Income Tax (Earnings and Pensions) Act 2003 (ITEPA 2003), employees can claim relief for extra costs caused by homeworking, such as […]
From 1 December 2025, the Financial Services Compensation Scheme (FSCS) deposit protection limit increased to £120,000. This means savers with a UK-authorised bank, building society, or credit union are protected up to £120,000 per person, per firm if the institution fails. Protection for temporary high balances has also risen to £1.4 million. These balances, often […]
Starting 6 April 2026, a new student loan repayment plan, Plan 5, will be introduced by the Department for Education (DfE). This plan will apply to borrowers who began their courses in August 2023 or later and will follow a similar structure to existing Plan types 1, 2, and 4. Key points to note: Employers […]
When buying a rental property, you can own it personally or through a limited company. Each option affects how much tax you pay and how your profits are handled. Personal Ownership Property is in your name. Rent is paid to you directly. Rental profits are taxed at 20%, 40%, or 45%, depending on your income. […]
The penalties will double for companies submitting a Corporation Tax return late from 1st April 2026. This will be legislated for in Finance Bill 2025-26. Late filing penalties were first implemented in 1998 to promote timely submission of corporation tax returns. However, inflation has reduced their real value over time, weakening their original deterrent effect. […]
An ISA is a tax-efficient savings account that allows you to earn interest without paying tax on it. Currently, individuals can contribute up to £20,000 per tax year into a Cash ISA. However, The Chancellor has confirmed in the Autom Budget that the cash ISA limit will be reduced to £12,000 a year from April […]
From 6 April 2027, the government will create separate tax rates for property income on Unincorporated landlords. The income tax rates for property income will be 22% for basic rate, 42% for higher rate and 47% for additional rate. Finance costs, such as mortgage interest, will be relieved at 22% as a tax credit. The […]
From April 2027, savers in the basic rate tax band will pay 22% in savings income tax, up from the current 20%. Higher and additional rate taxpayers will pay 42% and 47% respectively. 2.64 million people already are expected to be hit with tax on their savings this year. The new tax rates are expected […]
In November Autumn Budget, the Chancellor Rachel Reeves confirmed that the basic and higher rates of dividend tax will rise by two percentage points from April 2026. This change will negatively impact on millions of small limited company owners who receive dividends as part of their income. It will also affect investors who rely on […]
A business may cancel VAT registration if: You must notify HMRC within 30 days of becoming eligible to deregister. What happens after deregistration: