Tax Codes from 6th April 2016

Here is a useful resource I would like to share regarding the tax codes to use from 6th April 2016. This pdf has been put together by Gov.uk.

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/497220/P9X_2016_.pdf

If you have any queries regarding the tax codes for this year or would simply like some help with your accounts, please do contact us today and one of our team members would be more than happy to help. Call us on 0115 8240555 or email info@wkm-accountancy.co.uk.

budget 2016

Budget 2016 Summary: Important changes affecting your business

The Budget announcements that happened in March have left many of us with mixed emotions and some unaware of what it means for their business. Here is a simple breakdown of the Budget 2016 and the relevant key points that could or will affect your business this year.

Dividend tax changes

New £5,000 tax free dividend allowance is to be introduced with increased rates of dividend tax thereafter.

Personal Allowance

The amount an individual can earn before having to pay income tax is increasing to £11,000 and we expect this to rise to £11,500 in April 2017, according to an announcement made by George Osborne.

Income Tax rates and bands

The table shows the tax rates you pay in each band if you have a standard Personal Allowance of £11,000.

Band Taxable income Tax rate
Personal Allowance Up to £11,000 0%
Basic rate £11,000 to £43,000 20%
Higher rate £43,001 to £150,000 40%
Additional rate over £150,000 45%

National Living Wage

The new National Living wage(NLW) becomes law today, so if you are over 25 during your next pay date, make sure you check your salary meets the minimum required level. which is £7.20 per hour