You might be forgiven for ignoring last week’s budget given that we have an election in six week’s time and an emergency budget soon after. We know that not all of the measures will come to fruition, but two trends are likely to remain. Firstly, all major parties are proposing to restrict pension contributions, and secondly the move to the digitising information flow will continue apace.
Once upon a time, not too long ago, taxpayers could contribute up to £225,000 per annum into their pension pots and receive up to £90,000 in tax relief. And pension pots were unlimited. Now you can pay in a maximum of £40,000 per annum with a proposed lifetime limit of £1 million. Pensions tax relief is the most valuable relief for most people and you should use it wherever possible. If you need further advice please get in touch with our sister financial services company, Concerva.
We welcome the launch of digital tax accounts. I wrote a short blog soon after the Chancellor had spoken welcoming this change. Some accountants might shudder at the loss of personal tax return work, but we see this as the future and we embrace the change.
We already have our Xero powered online accounting solution and next week we are launching our online portal for all clients (Jack Ross & JacRox) so we can communicate securely and efficiently with you. Look out for the welcome email inviting you to join.
Businesses have always had to innovate, and now it those who can adapt the quickest who succeed. We are innovating and if you need advice on how to re-engineer your business processes to remain efficient and competitive, I would be delighted to hear from you, call today on 0800 020 9542 or email firstname.lastname@example.org.