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

IHT remains goldmine and set for record year as Budget looms
Just Group comment on the latest HMRC update showing that Inheritance Tax (IHT) receipts totalled £5.20 billion through the first seven months of the
Lots of noise but little signal from recent US data
Marcus Jennings, Fixed Income Strategist, Global Unconstrained Fixed Income, Schroders, explains why now the US government shutdown is over, we expect
Urgent need for investor action on sustainability
Rathbones convenes industry to address global challenges, from climate tipping points to modern slavery. First Group-wide Responsible Investment Summi

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.