Yesterday the The Rt Hon Philip Hammond MP gave us his first budget and below is our understanding of the key points:<\/p>\n
Income tax<\/p>\n
Possibility the change that will affect the widest audience is the personal allowance that will be increasing to \u00a311,500 from 6 April 2017. Higher rates of Income Tax will apply once earnings reach \u00a345,000 from 6 April 2017.<\/p>\n
National Insurance Contributions (NICs)<\/p>\n
Class 4 NICs will increase from 9% to 10% on 6 April 2018. Class 2 NICs will be removed from 6 April 2018.<\/p>\n
Dividend allowance<\/p>\n
The tax-free dividend allowance will be reduced from \u00a35,000 to \u00a32,000 from 6 April 2018.<\/p>\n
Pensions – Money purchase annual allowance (MPAA)<\/p>\n
As expected, the MPAA will reduce from \u00a310,000 to \u00a34,000 from 6 April 2017. The MPAA applies to individuals who have accessed their money purchase pensions using pension flexibility.<\/p>\n
ISAs<\/p>\n
The lifetime ISA will be available from 6 April 2017 and allows those under 40 to save up to \u00a34,000 each year and receive a bonus of up to \u00a31,000 a year on these contributions. These proceeds can be withdrawn tax-free to put towards a first home or when they turn 60.<\/p>\n
It is also worth noting that the ISA limit will increase to \u00a320,000 from 6 April 2017.<\/p>\n
Nothing in blog should constitute advice, should you need advice, please do not hesitate to contact us.<\/p>\n","protected":false},"excerpt":{"rendered":"
Yesterday the The Rt Hon Philip Hammond MP gave us his first budget and below is our understanding of the key points: Income tax Possibility the change that will affect the widest audience is the personal allowance that will be increasing to \u00a311,500 from 6 April 2017. Higher rates of Income Tax will apply once … Continue reading 2017 Budget Summary<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-44","post","type-post","status-publish","format-standard","hentry","category-uncategorised"],"_links":{"self":[{"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/posts\/44","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/comments?post=44"}],"version-history":[{"count":1,"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/posts\/44\/revisions"}],"predecessor-version":[{"id":45,"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/posts\/44\/revisions\/45"}],"wp:attachment":[{"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/media?parent=44"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/categories?post=44"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tmam.co.uk\/blog\/wp-json\/wp\/v2\/tags?post=44"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}