Year End Tax Planning Guide 2021
Welcome to our Year End Tax Planning Guide, in which we highlight a number of issues and actions for consideration in advance of the end of the current tax year on 5 April 2021.
Almost a year on from the first COVID-19 lockdown, we again find ourselves working from home as we head towards the Chancellor’s Budget on 3 March, and the start of a new tax year. Our Year End Tax Planning Guide summarises some issues and opportunities to consider before the end of the tax year: some simple actions to make the most of your tax allowances and reliefs.
There’s much speculation about the likely content of the Budget on 3 March:
- Will the Chancellor increase taxes now, to start to reduce the deficit, or is further economic stimulus required, or both?
- Will there be an increase to Capital Gains Tax (CGT) or Corporation Tax, or the introduction of a one-off wealth tax or a digital retail tax? I wonder whether even the Chancellor knows yet.
- Will there by another Budget in the autumn?
Despite the delay to the Office of Tax Simplification’s second report on proposed changes to CGT, it is still possible that the rate of CGT will increase in the Budget. To be certain of the current rates and reliefs, some families and business owners are planning now to crystallise gains before the Budget.
Please do not hesitate to contact me, or a member of the team, if we can assist in any way.
We send all best wishes to you and your family at the challenging time.