Our five minute read, Tax Tips for UK doctors and dentists will help you save tax, get you organised with your tax affairs and make you feel at ease that everything is taken care of.
This article does not constitute advice. Professional advice should be taken prior to acting on any part of it. The Financial Conduct Authority does not regulate tax advice.
The Autumn Budget Statement may not have thrown up that many tax or pension changes that we have seen included in previous Budget statements, but there were still some changes announced that as a doctor or dentist you need to be aware of.
We’ve listed seven tax and pension changes that may affect you as a UK doctor or dentist:
Pensions
- 1. Weekly basic state pension to rise by 3% from April 2018 to £125.95, it currently stands at £122.30
- 2. Anyone that is covered by the new state pension will see it increase from £159.55 to £164.35 per week
- 3. The Lifetime Allowance for pension savings is set to increase in line with the Consumer Price Index (CPI). Rising to £1,030,000 for the tax year 2018/19
Tax
- 4. The personal allowance from April 2018 will increase from £11,500 to £11,850
- 5. The higher tax rate will rise from £45,000 to £46,350
- 6. From 22nd November, stamp duty for first time buyers who are purchasing a property worth less than £300,00 was abolished. Plus, if the property is worth up to £500,000, there will be no stamp duty to pay on the first £300,000
- 7. Philip Hammond gave local authorities the power to apply a 100% Council Tax charge on empty properties
This Budget has become known as the Budget that ‘gives’.
Philip Hammond set out plans to help first time buyers and those aged between 26-30 with the introduction of a railcard that will enable discounted train fares.
We wait with interest to see what will be announced in the 2018 Budget Statement!
Dental & Medical Financial Services help doctors and dentists with all financial matters.