Don’t dom diss me


TUE, 12 APR 2022

So, before ‘Party Gate’ has even been brought to a conclusion, we’ve now got the next big supposed political scandal, the non-domiciled tax status of Chancellor Rishi Sunak’s wife Akshata Murty. All news coverage has made it clear that she’s not doing anything illegal. She has a tax advantaged position, which according to HMRC for …

Taking the hit – the lifetime allowance charge


THU, 07 APR 2022

I’ve written numerous articles on the lifetime allowance (LTA), including whether, or not, it’s beneficial to continue to fund a pension where the individual expects to have an LTA issue, or indeed they already exceed their LTA, whether it’s the standard lifetime allowance (SLA) or their personal LTA because of one of the forms of …

A light-hearted perspective on the annual allowance challenge for end of tax year pension funding


WED, 23 MAR 2022

The content of a recent news bulletin I watched, in which the conflict in Ukraine, the irreversible effects of global warning, and the on-going pandemic were all mentioned, did nothing to help me in my efforts to come up with suitable subject matter for this ‘light-hearted’ article. However, those who’ve an interest in retirement planning …

When did good tax planning become a loophole?


MON, 21 MAR 2022

A recent article in the Telegraph with the headline ‘How to avoid IHT in the UK – seven legal loopholes to cut the cost in 2022’ piqued my interest. What tax planning strategies could they be alluding to? After all, a loophole is where there’s ambiguity, or an inadequacy, in the law that can be …

When the cards are stacked in favour of HMRC


TUE, 08 FEB 2022

The government’s PAYE system does not make things easy for retirees, writes Neil MacGillivray. In fact, he argues it inconveniences clients and complicates things for advisers… HMRC have advised that they processed 42,046 tax repayment claim forms purely in relation to flexible pension withdrawals in 2021. If you think that’s a scary number, then you …

Paying the annual allowance charge


MON, 31 JAN 2022

The annual allowance (AA) restricts the tax relief available on pension savings with any ‘excess’ tax relief being recouped by the AA charge. The restriction doesn’t apply when the pension savings are made and any tax relief due is claimed in the normal way. Instead, it works by applying a tax charge when a ‘chargeable …

The double bubble of leaving a gift to charity through your will


THU, 27 JAN 2022

We’re all aware that gifts to charities are exempt from inheritance tax (IHT), however, the added attraction of leaving 10% or more of a person’s ‘net estate’ to charity meaning the rate of IHT reduces from 40% to 36%, makes such provisions in an individual’s will very appealing. That said, understanding how the rules apply …

The inequality of public sector, defined benefit pensions


THU, 28 OCT 2021

A colleague made a presentation recently, which covered the disparity between defined benefit and defined contribution pension arrangements. He considered the differing treatment between the two, particularly with regard to the annual allowance and the lifetime allowance. It is apparent when comparing DB and DC schemes, that there is significant advantage, and I personally think …

It’s levelling up, but not as we know it…


TUE, 26 OCT 2021

Boris Johnston and the Conservative Party’s mantra of “level up and unite the country” is constantly ringing in our ears. The aim of spreading investment more widely throughout the country and rebalancing the economy, bringing high quality, well paid jobs to communities that have, for a long time, felt ignored, is surely a positive. As …

CTFs and JISAs: don’t let your clients miss out on this government generosity


MON, 11 OCT 2021

With some children getting preferential access to bank of mum and/or dad into adulthood, advisers can play a part in helping parents, and even grandparents, make provision for this financially. With some careful planning around Child Trust Funds and Junior ISAs, clients would be barking mad to miss out on this government generosity… Way back …