As we slowly ease out of the pandemic lockdown it is important to start getting our lives and finances back in order. Personal tax planning plays an important role in making efficient tax plans for the future to benefit your family and to give you peace of mind as we venture back in to a semblance of normal life in 2021. 

This is the process of structuring your personal tax affairs which can have a massive impact on the tax you will have to pay. An individual tax planning strategy is imperative to ensuring that you pay the least amount of tax, a big boon for all of us slowly coming out of chaotic year. At KISL we help to optimise tax reliefs tailored to your individual circumstances, finding exemptions that suit you and prevent you from paying too much personal tax. It will make your finances more predictable over the long term and provide you with a marked improvement in your actual take home income. 

There are many ways that we have to pay tax, such as on income tax, inheritance tax, on some savings interest and on investment growth, which are just a few of the more well known instances. It is always advisable to have a professional accountant help you calculate your taxes as it will help with completing an accurate self assessment tax return or learning how to maximise your tax allowance and tax reliefs. And as mentioned before, a professional will be able to assist you with reducing the risk of either paying too much or too little. 

 

The HM Revenue and Customs (HMRC) says it wants people to pay ‘the right amount of tax’ which is not always easy to do because many of us are unaware of all the allowances and legal means available to reduce our tax bill. When you have a personal tax plan you can see exactly what your status is regarding tax payments. 

When it comes to determining the above our services will become useful as we help clients understand the difference between tax planning and tax avoidance. With professional tax planning help you can become tax efficient by using pensions and ISAs opportunities to reduce your tax bill. Tax avoidance, however, is when, say for instance, an investment scheme is used to avoid tax and the HMRC concludes that the scheme is therefore not legitimate. 

 

Our team of professionals can not only help you with self-assessments and prepare your tax returns, both corporate and non-corporate, we can also help you with proper tax planning by helping you make use of allowances etc to minimise your tax liability. Our tax planning advice is a helpful way to guarantee tax compliance to avoid the situation of a tax investigation. 

Our services cover all accounting requirements from preparing year end accounts for business taxes, individuals, partnerships etc. Further we also provide Adhoc Tax Advice if a situation arises and you require clarification from a tax point of view, which is especially helpful to individuals undertaking personal tax planning. 

 

If you are looking to sort out your 2020/21 tax year, then get in touch with us and we will be able to guide you and assist you with the correct and most suitable course of action for your individual tax situation.