16 MARCH 2016
there will be a new charge on loans paid through disguised
remuneration schemes that have not been taxed and remain
outstanding on 5 April 2019.
Tax-free childcare will be rolled out for children under age 12
from early 2017. The existing employer-supported childcare
scheme will remain open to new entrants until April 2018.
Fuel duty remains frozen, but the fuel and van benefit charge
multipliers will rise by RPI in April 2017. CO
emissions will remain
the basis for the company car tax charge from 2020/21. There will
be a consultation on reforming the bands for ultra-low emission
vehicles (below 75g/km) to refocus incentives on the cleanest cars.
PENSIONS, SAVINGS AND INVESTMENTS
Lifetime ISA and ISA limit
A new Lifetime ISA will be available from April 2017 for adults
aged under 40. There will be an annual contribution limit of
£4,000 and savers will receive a 25% government bonus, i.e.
£1,000 bonus for every £4,000 contributed. Funds, including
the bonus, can be used to buy a first home at any time from
12 months after opening an account. They can be withdrawn
tax free from age 60 for other purposes. The overall annual ISA
subscription limit will be increased to £20,000 from 6 April 2017.
ISAs – tax advantages during the administration period
The ISA savings of a deceased person will continue to benefit
from ISA tax advantages during the administration of their estate.
Help to Save
Individuals in low-income working households (e.g. those receiving
Universal Credit) will be able to save up to £50 a month in a Help
to Save account and receive a 50% government bonus after two
years. Account holders can then choose to continue saving for a
further two years’ bonus.
There will be a number of changes to the pension flexibility rules.
Check that you and your
partner have optimised
your ownership of
investment and savings.
The new personal savings
allowance and dividend
allowance mean a new
approach could be