Happy New Tax Year

New tax and reporting measures to begin

New tax and reporting measures are set to come into effect from 6 April 2017. The key reforms are the apprenticeship levy, a charge on non-EU skilled migrant employees, a requirement for employers with more than 250 staff to report on their gender pay gap, new limits on tax relief on mortgage interest for B2L landlords, the new lifetime Isa, a limiting of tax credits to two children, changes in non-dom status (those who have lived in the UK for at least 15 of the past 20 years will be considered UK domiciled for tax while Britons who return to the UK but claim to have a permanent home abroad will have non-dom status removed), and the personal allowance and higher-rate income tax thresholds will be increased from £11,000 to £11,500 and from £43,000 to £45,000 respectively, but not in Scotland where they will remain the same. A new residence allowance also comes into force tomorrow which will, by the year 2020, see some families able to give away £1m without paying IHT.