2 November 2022
Managing your tax exposure
Many clever expats arriving in the UK often make it a priority to learn and to update themselves on the tax regime of the country.
This process gives them an advantage to learn of the tax incentives available.
But even if you are British and not an expat, with the right approach, these same incentives remain available to you also.
If you would like Hodgens Global to support you in these matters, you only need to ask. Many others do.
For example:
- When your taxable income is close to the higher 40% rate or the additional 45% tax rate tax thresholds, there is the opportunity to avoid these higher tax rates through gift aid donations or pension contributions. It doesn’t take a lot to reach the 40% threshold.
- Similarly, where your family receive child benefit but your taxable income exposes you to the high income child benefit charge, gift aid donations and pension contributions may again help to avoid the additional tax charge and thus serve to reduce your tax burden.
- There is also the marriage allowance, for married couples, where the opportunity to reduce the family tax bill exists if one spouse earns less that the annual tax free allowance.