Just a few weeks to the end of the tax year

The 5 April 2018, is the next key marker for tax advisors, the end of the current tax year. Why is this date especially important?

Each tax year, taxpayers are granted a number of tax-free allowances, exemptions and reliefs, and in most circumstances, if you don’t take advantage of these reliefs they are lost; they cannot be carried forwards. Basic allowances for 2017-18 include:

Income Tax:

  • Personal tax allowance – £11,500
  • Personal savings allowance – £1,000 for basic rate taxpayers and £500 for higher rate taxpayers.
  • Dividend allowance – £5,000. This is the last year that this generous tax-free allowance is available, from 6 April 2018 it is reducing to £2,000.

National Insurance:

  • The employment allowance of £3,000 is available to set-off against employer’s Class 1 secondary contributions subject to certain restrictions.

Capital Gains Tax:

  • Annual exempt amount, individuals can accrue chargeable gains of £11,300 (trusts £5,650) in the tax year without paying this tax.

Annual Investment Allowance:

  • Sole traders, partnerships and companies can invest up to £200,000 in qualifying capital expenditure and set this off against their taxable profits.

Inheritance tax:

  • Annual gifts out of capital £3,000 (this gift allowance can be carried forward for one year).
  • Small gifts allowance, £250 per recipient.
  • Parental gift on marriage, £5,000.
  • Grandparent or party to marriage, £2,500.
  • Other gifts on marriage, £1,000 per donor.


  • Annual ISAs – you can invest up to £20,000 in a tax-sheltered ISA. The limit for Junior ISAs is £4,128.

This is by no means a complete list, what it does help to illustrate is the need to work through a basic check list of reliefs to ensure that you have organised your tax affairs for 2017-18 in such a way that you can make the most of reliefs available.

We can help. If you have not considered your tax planning options for 2017-18, call now to organise a planning meeting.


“It was the year 1979 little did we know then , how important is the role of the financial controller. In 1991 our co director died suddenly….his name was Ramon, He was like a brother to me. Our challenge was the company accounts and the financial control , which Ramon being accountancy trained did so well and professionally. Zak became our Rock when Ramon died, and we were comforted. Knowing the business as Zak did, we continued doing what we do best , working in the business And knowing the financial statements and cash at bank was being handled by Zak we continued to grow.

Thank you Zak, for always being there for us, and stepping in and helping us through those very difficult emotional and financial times, without you we would not be as successful as we are today. You are there for us 24/7 And the pride you deliver with your financial control which is exceptional and is beyond just doing the numbers. You are very special to us”
Joe Mastroianni, Director, The Kingston Riding School