Investment - Articles - NFU Mutual comments on tax on investments


Commenting on the introduction of a tax free allowance for dividends in today’s Budget, Sean McCann, Chartered Financial Planner at NFU Mutual, said:

     
  1.   New £5,000 tax free allowance for dividends introduced
  2.  
  3.   Anyone with shares should review their tax position
  4.  
  5.   Basic rate taxpayers could face dividend tax bills for the first time
 “A new £5,000 tax free allowance on dividends sounds great but there will be winners and losers. Basic rate taxpayers won’t be any better off. In fact, basic rate taxpayers with more than £5,000 in dividend payments will start paying tax on their dividend income.
  
 “What is clear from today’s announcement is that anyone with stocks and shares should review their investments to make sure they aren’t paying any more tax than they have to.
  
 “From next year, everyone who receives dividend income won't pay tax on the first £5,000. Basic rate taxpayers will pay 7.5% tax on any additional dividend income, higher rate taxpayers will pay 32.5% and additional rate taxpayers 38.1%."

Back to Index


Similar News to this Story

Just Group completes buyin for Welcome Break Pension Plan
Buy-in insures the benefits of all 348 members of the defined benefit section of the Scheme, sponsored by Welcome Break Group Ltd. Just Group has comp
GDP growth grinding to a halt as Budget uncertainty looms
Comment from Lindsay James, investment strategist at Quilter the latest UK GDP statistics: “After a positive first half of the year, UK economic growt
4 percent may be the neutral case for rates in the near term
Commenting ahead of the Bank of England’s Monetary Policy Committee (MPC) meeting on Thursday 18th September, Steve Matthews, Investment Director, Liq

Site Search

Exact   Any  

Latest Actuarial Jobs

Actuarial Login

Email
Password
 Jobseeker    Client
Reminder Logon

APA Sponsors

Actuarial Jobs & News Feeds

Jobs RSS News RSS

WikiActuary

Be the first to contribute to our definitive actuarial reference forum. Built by actuaries for actuaries.