The UK has various different tax rates, thresholds and allowances affecting individuals and businesses.
As the new financial year rolls around, there are some key tax changes that you should be aware of. What’s more, the Government has recently announced their Budget Update, which may affect your business.
Tax Table 2022/23
We’ve created an easy-to-read tax table that outlines the tax thresholds for 2022/23, and also compares these to the last financial year.
Budget Update 2022
Last week, the Chancellor published the Spring Statement outlining changes that will affect your finances and the tax that you pay. Key changes for the 2022/23 tax year include:
Employment Allowance will increase by £1,000. This is deducted from your HMRC bill each month and is only applicable against National Insurance.
National Insurance Changes
NI threshold has increased to £12,570 – the same threshold as personal tax. However, the National Insurance rates paid by both individuals and employers have also increased by 1.25 percentage points as part of the Health and Social Levy – to be spent on NHS and social care across the UK.
Annual Investment Allowance Extension
The temporary £1 million level of the annual investment allowance will be extended to 31st March 2023. This allows businesses to obtain full tax relief on a higher level of qualifying capital expenditure.
How We Can Help
At James and Uzzell, we provide an honest and trustworthy service, to help you choose an accounting system that suits you. Contact a member of our team today on (01792) 799 100 or send an email to email@example.com to find out more.