National Insurance & dividend tax rise
Editor | 8 September 2021
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The Government hopes the tax rises will tackle the current backlog in the NHS, and contribute to wider social care, including disease prevention and the cost of care homes.
April 2022 will see an increase in National Insurance contributions for employers, employees and the self-employed.

Dividend Tax Planning

A new Dividend Tax is coming in from April 2016 so now is the time to effectively plan whether maximising proposed dividends in March could save you money.
Tax Credits are being abolished and a new effective rate of 7.5% will be payable on all dividends over £5,000. Currently basic rate tax payers pay zero effective rate tax on dividends.
Higher rate tax payers will see the effective rate rise from 25% to 32.5% and additional rate tax payers from 30.6% to 38.1%.