Personal tax

You make money; you pay tax. It is as simple as that.
Tax comes in many forms – PAYE for those who earn a wage or salary, plus perhaps some extra tax to pay if you receive benefits-in-kind, or share options; pensioners pay tax through PAYE too, on their pension income; you pay income tax on your rental income, subject to some deductions for your expenses; tax on your savings and dividends, unless they fall within one or other of the tax-free limits allowed; and of course you pay income tax and National Insurance on any business profits that you earn in your own right, or through a partnership or limited company.

What could be more straightforward than that. How do you know though whether you are paying the right amount of tax. Can you rely on the PAYE system to get things right, even in normal circumstances let alone where things change – eg, a tax underpayment from a prior year. How do you know what expenses you can claim for, and which you cannot. When should you put an explanation on your tax return if it contains some unusual or significant features.

How do you deal with H M Revenue and Customs if their system says that you have not complied with their rules, even though you have, and asks you to pay a fine.

If you have a windfall, some unexpected income, are there any special allowances you can use to set against it? Do tax wheezes work?

And what about capital gains tax, if you sell a property say or some stocks and shares, or a business that you have built up. Does the tax system treat you harshly or kindly, and how can you organise things in the best possible way to save tax.

For answers to all these questions, and more, speak to Nicholas Ridge CTA.

ABOUT NICHOLAS RIDGE

Nicholas Ridge operates as a Chartered Accountant and Chartered Tax Adviser under his own name, Nicholas Ridge CTA, in the Meon Valley in Hampshire.

For many years, Nicholas and Elizabeth Ridge Chartered Accountants and Chartered Tax Advisers ran a successful high street practice in West London. Their client base included individuals and businesses, and specialisms involved personal and business tax; not-for profit businesses; artists and professionals; and business start-ups

Their partnership merged with PK Group in 2013, at which point they moved to Hampshire