In 2024, there are several key financial tax year dates to keep in mind. By staying on top of these, you can save your business from penalties, interest charges, and legal problems. Hiring an accountant can help you keep track of important financial tax year dates, avoid missing these, and ensure all critical documents are accounted for.
The key financial year dates for 2024 are:
January
January 1st: Energy Price Cap increases from £1,834 to £1,928. The energy price cap is a limit on the maximum amount that energy companies can charge for standard variable tariffs. This increase meant an increase in energy bills.
January 6th: National Insurance cut from 12% to 10%. This change will benefit millions of workers across the UK and is expected to save an average worker around £104 per year.
January 31st: Self-assessment tax deadline. Make sure to submit your self-assessment tax return and pay any tax you owe to HM Revenue & Customs (HMRC). You can find more information about self-assessment tax on the HMRC website.
Check out our Self Assessment tax return service.
March
March 6th: Rail Fare Increases Ticket prices for train journeys across the country will rise. The price increase can vary depending on the train company and the type of ticket purchased.
Mid-March: Budgets – Annual update on the state of the economy Includes any changes to tax rates, public spending, and economic forecasts. The budget announcement can impact significantly businesses and individuals, as it can affect everything from personal finances to investment decisions.
March 23rd: End of 5p fuel duty cut.
April
Things to be aware of happening on April 1st:
National living wage increase – for 21- and 22-year-olds will increase to £11.44 per hour, while 18–20-year-olds’ wage will rise to £8.60 per hour. Apprentices will also receive a pay boost. This could mean higher costs for businesses.
Council tax – Is set to rise with the exact amount expected to be announced by local authorities in February.
TV licence price increase – in line with September’s rate of inflation (6.6%) which will take the licence fee from £159 to £160.50.
Childcare – Working parents will get 15 hours a week free for children under two.
Energy Price Cap (expected to drop) – could result in lower bills for consumers.
Air passenger duty tax – rises in line with RPI and the rate that you pay will depend on the class of the flight and the distance you are travelling. The cheapest tax on domestic flights will be £7 and on international flights will be £13. An economy flight of more than 5,500 miles will be taxed at £92, a business class seat at £202.
April 6th: National Insurance changes to self-employed people
As of now, Class 2 NICs will be eliminated, saving an average of £186 yearly, and there will be a one percentage point reduction in Class 4 NICs, going from 9% to 8%. The government has provided resources to help self-employed individuals understand the new rules and calculate their contributions. To ensure compliance with the new regulations, self-employed individuals have been encouraged by the government, to seek professional advice.
April 6th: Changes to dividend and capital gains tax (stocks and shares)
Under the new rules, the tax-free dividend allowance will be reduced from £2,000 to £1,000. This means that individuals who receive dividend income above £1,000 will have to pay tax on the excess amount. Additionally, the rates of dividend tax will increase by 1% for each tax band.
The capital gains tax threshold will also be lowered from £12,300 to £6,150 for individuals and from £6,150 to £3,075 for trustees. This means that individuals who make gains above the new threshold will have to pay tax on the excess amount. The rates of capital gains tax will remain the same.
April 6th: Changes to Individual Savings Accounts (ISAs)
These changes will impact how much tax-free savings individuals can make. Currently, the annual ISA allowance is £20,000, which means that individuals can save up to this amount each year without having to pay tax on any interest or investment gains. Under the new rules, the ISA allowance will be increased to £25,000, giving savers an extra £5,000 of tax-free savings each year.
In addition to the increase in the ISA allowance, the government will be introducing a new type of ISA called the Lifetime ISA. This will be available to anyone aged between 18 and 40 and will allow savers to save up to £4,000 per year tax-free. The government will also contribute an additional 25% to any savings made, up to a maximum of £1,000 per year. The Lifetime ISA will be available to use towards buying a first home or saving for retirement.
April 8th: the state pension is set to increase by 8.5%.
July
July 1st: Energy Price Cap review
July 31st: Payment on account deadline
Self-employed people must make an advance payment towards their tax bill for the current tax year. This payment on account is based on the previous year’s tax bill and is designed to spread the cost of the tax bill over two payments.
August
August 1st: Alcohol duty tax reduction
October
October 1st: Energy Price Cap review
October 31st: Self Assessment deadline for paper Self Assessment tax returns
Did you know that almost 500,000 taxpayers still choose to send in paper self-assessment tax returns via post, rather than filing online? If you opt for this method, be sure to submit it before the 31st of October deadline.
Why is meeting financial deadlines important?
Meeting financial deadlines is a critical aspect of any business. Failure to meet these deadlines can result in significant financial fines, reputational damage, and even legal consequences.
These penalties can add up quickly, and they can have a big impact on a business’s financial health. Late payments and missed deadlines can make a company appear unprofessional and unreliable, which can deter potential customers and investors.
Keeping track of these deadlines allows you to ensure the accuracy and reliability of your financial information, building trust with stakeholders and investors.
Hire an expert!
Hiring an expert to handle your accounting can take away all the stress and ensure that everything is taken care of properly. It’s important to ensure that you’re hiring the right accountant for your specific needs. Do your research and choose a reputable accounting firm or individual who has experience in your industry and can provide the services you need.
A cloud accountant handles your accounting needs remotely and provides real-time updates on your financial situation. This is especially helpful for small businesses or individuals who may not have the resources for an in-house accountant.
Why choose CloudAccountant.co.uk?
CloudAccountant.co.uk is straightforward and hassle-free. Our team has over a decade of experience in the industry and knows how to navigate the ever-changing financial landscape. With experience in different industries, we can assure a tailored solution that works for you.
We are platinum partners with the award-winning accounting software Xero and FreeAgent, which means you can manage your finances quickly and easily. We also work closely with transactional software systems such as LinkMyBooks, A2X and Dext to support multiple aspects of your business.
Whether you are selling online or managing your expenses, we have software integrations that can help record information quickly and efficiently.
If you’re considering switching accountants, we make the process simple. Our dedicated team will guide you through the process and ensure a seamless transition.
Get in touch!
Need more information about the Financial Year Dates UK? If you’d like some free, impartial advice on how we can proactively support your business with your tax and accountancy needs accurately and on time, you can contact us by emailing info@cloudaccountant.co.uk, calling us on 01625 546 232, or simply fill in the enquiry form below.