Reclaim tax you have overpaid now! Are you due a tax refund?

As 6 April has now passed we are now into a new tax year. There are positive changes such as the annual personal allowance increasing to £11,000, the transferable marriage allowance increasing to £1,100 and a new national living wage of £7.20 per hour for those over the age of twenty five being introduced.

Now is also a good time to start thinking about your 2016 Tax Return as preparing this early will give you plenty of advance warning of your tax liability due on 31 January 2017 or enable you to claim your tax repayment quickly, if one is due.

4.45 million people submitted their 2015 tax return in January 2016. That means they had less than 31 days to calculate their tax liability for 2015/2016 and find the money to pay it.

If you collate your information now for the preparation of your 2016 tax return then you can reclaim any overpaid tax as soon as the return is prepared or have the luxury of up to seven months where you know the tax liability due. This gives you plenty of opportunity to budget for this.

A little proactive work such as contacting banks for interest certificates, requesting P60s or P11Ds from employers or finally getting round to updating your business records can make the world of difference and make your life a lot easier.

At Johnston Smillie we support and guide clients through all aspects of tax planning. If you would like to discuss any aspect of this please contact Angie Harvey on 0131 317 7377 or angie.harvey@jsca.co.uk and she will ensure you are connected with the most relevant and available member of the team.