If you are a sole trader (self-employed), limited company, a partner in a limited liability partnership, employer, employee or you take part in any and other business activity in the UK; it is essential to understand allowances, rates and thresholds because they influence the amount of tax that you pay and how you pay it.
It is important to understand how tax bands, allowances, and relief schemes work depending on your circumstances. There are different tax rules depending on whether you’re a self-employed, a limited company, an employee, an employer, or operate in a different business structure. Tax rates also differ depending on your individual circumstances. If you cannot understand how the rates and thresholds work, please seek the services of an accountant for guidance.
Often, tax rates change at the start of a new tax year and remain the same the entire tax year. However, the 2022/2023 primary threshold for National Insurance will increase in July. Nonetheless, this will not change the current UK tax year which runs from 6th April 2022 to 5th April 2023.
We understand that the new tax year has come with changes and rules in tax rates and thresholds. Our guide covers various tax allowances, bands, thresholds, rates and reliefs that will have an impact on your business and personal income. It covers:
Find the 2021/2022 tax fact sheet here. You can also see the 2022/2023 important tax dates and deadlines here.
