Author name: meritaccountants

Avoiding the 60% tax trap on income over £100,000
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The 60% tax trap

If your income is creeping above £100,000, you are almost certainly paying tax at a far higher rate than you think. On every pound between £100,000 and £125,140, the gradual withdrawal of your personal allowance creates an effective tax rate of 60%.

Salary vs dividends comparison 2026/27 with Employment Allowance
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Salary vs dividends in 2026/27

If you run your own limited company, the most valuable decision you make each year is how to pay yourself. And in 2026/27 the right answer has changed. Dividend tax rates rose on 6 April 2026, the ordinary rate from 8.75% to 10.75% and the upper rate from 33.75% to 35.75%.

New property income tax rates from April 2027
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Reducing Tax on Rental Income

Many landlords are paying more tax on their rental profits than they need to, simply because nobody has sat down and planned it. So what can you legally do to reduce the tax on your rental income in 2026/27, and what changes should you be preparing for now?

Common triggers for an HMRC tax investigation
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HMRC tax investigations guide

Few letters cause as much anxiety as a brown envelope opening an enquiry into your tax affairs. HMRC now uses sophisticated data analysis to decide who to look at, and investigations reach everyone from sole traders to large companies

Making Tax Digital for Income Tax
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Making Tax Digital for Income Tax

From April 2026, the way you report rental and self-employed income to HMRC changes permanently. If your qualifying income from self-employment and property was more than £50,000, you are legally required to keep digital records and send HMRC a quarterly update through Making Tax Digital-compatible software.

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