With a record number of 9m taxpayers expected to file their tax return online – don’t delay. Tax returns and payment of tax must be with HM Revenue & Customs by midnight 31 Jan or you risk paying a penalty of £100. 

First timers need to remember it can take more than a week to register to file online and then you have to wait for an activation PIN.  Go to www.hmrc.gov.uk/sa  and click on register for self-assessment online.

If you need any assistance please contact me on 01344 620495 or mark.busby@dbsellek.co.uk

With the proposed hike in 50% income tax why not consider taking salary as dividends to minimise your tax bill. Shareholders in their own companies who take dividends instead of cash means you are taxed at 32.5% until 5 April, rising to 42.5% on 6 April.

For practical advice contact Mark Busby on 01344 620495 or mark.busby@dbsellek.co.uk

Rises in National Insurance and Income Tax for high earners mean it’s even more important to take advantage of tax breaks and look at other ways to minimise your tax bill. There are generally various planning techniques to avoid or defer these liabilities but action must be taken NOW if these plans are to be effective as of this April.

For practical Tax Saving solutions contact Mark Busby on 01344 620495 or mark.busby@dbsellek.co.uk

I was pleasantly surprised to see the Chancellor made no changes in his Pre-Budget Report to Capital Gains Tax which remains at 18%.

The absence of any change to CGT is seen by many commentators to be linked to the forthcoming election. So once this has passed changes to tax are anticipated. By acting now it is possible to fix your CGT rate to 18% even if you still want to keep possession of the asset.

Contact Mark Busby on 01344 620495 or mark.busby@dbsellek.co.uk for practical Tax Saving solutions.

High earners should make the most of pension contributions now. The Chancellor further tightened the Budget 2009 pension tax relief rules in December’s Pre-Budget Report. So now any pension benefit contributed by an employer or third party will be taken into account when calculating whether your income exceeds £150,000. This means more high earners being caught by the pension rules (perhaps unknowingly).

Also, the Chancellor extended the pension relief restrictions, which prevent individuals from making large irregular annual pension contributions before 6 April 2011, to include those earning £130,000 (where an employer’s contributions takes them above the £150,000 income level).

Contact Mark Busby on 01344 620495 or mark.busby@dbsellek.co.uk for ways to maximise pension relief and reduce income tax.

Businesses are having a tough time what with adjusting to the changes introduced at the beginning of the year i.e. the Standard Rate, Flat Rate and Cross-border rules. In addition, from 1 April all businesses with £100,000 or more turnover will be required to file their VAT Returns online. This will also affect all newly VAT registered businesses from this date.

This means you will need to register online as soon as possible. Find out more www.hmrc.gov.uk/vat/vat-online/index.htm

Need help with 1 Jan changes, filing online and your VAT Returns then contact Lindsay Gray on 01344 620495 or lindsay.gray@dbsellek.co.uk