How can I reduce my tax bill?

TUVOK

Hello,
I completed my self assessment tax return yesterday and have worked out that I am paying 11.40% tax.
WIthout buying a new car, a round the world cruise etc, are there any investment ways I can reduce this amount?
Inheritance for my children is up to date, so is N.S.& I savings.
It would appear to me to be Premium bonds or cash under the bed is the only way, or is there any other solutions?
Thanks for any/all replies.

anselld

Pension (current tax year).
VCT, EIS, SEIS ( last tax year).

However 11.4% is hardly a punitive tax bill. Someone has to fund the Country.

TUVOK

Thanks for the reply.
Yes, I've worked hard to get to that amount and yes we have to fund the country, but after 60 plus years of doing that, I think it's time for HMRC to concentrate on some of our citizens dubious tax contributions.
I gather that VCT is Venture capital trusts, have you any experience of the two other schemes?

anselld

I have used EIS which are particularly useful to reduce both CGT and Income Tax at the same time. However they are higher risk than VCT.

BoGoF

Both carry risks of losing capital so not for those who are risk averse. You don't say where your income comes from (self--employed/employed/pensions).

Any more 'mainstream' options depends on the type of income.

01afraser4

TUVOK wrote: »

Thanks for the reply.
Yes, I've worked hard to get to that amount and yes we have to fund the country, but after 60 plus years of doing that, I think it's time for HMRC to concentrate on some of our citizens dubious tax contributions.
I gather that VCT is Venture capital trusts, have you any experience of the two other schemes?

I fail to see why you believe you have less obligation to pay tax on your income than any other person. Just because you have worked hard does not excuse you from paying your fair share of tax.

TUVOK

If you read my question again and carefully, you will see that in no way have I asked for any illegal method of reducing my tax bill.
I believe that it it still legal in this country to find legal methods of reducing your taxation bill by investment etc, all of which are perfectly legal and are such as VCT etc fully accepted by HMRC.
You really should not adopt a silly attitude in your reply without fully reading the question.

My thanks to forum members who responded with investment ideas which could help me in my quest and also their advice on the risk factors.

01afraser4

TUVOK wrote: »

If you read my question again and carefully, you will see that in no way have I asked for any illegal method of reducing my tax bill.
I believe that it it still legal in this country to find legal methods of reducing your taxation bill by investment etc, all of which are perfectly legal and are such as VCT etc fully accepted by HMRC.
You really should not adopt a silly attitude in your reply without fully reading the question.

My thanks to forum members who responded with investment ideas which could help me in my quest and also their advice on the risk factors.

I wasn't referring to your comments regarding legally reducing your tax bill, tax planning is encouraged and I have no issue with that. It was more around your comment which said "...after 60 plus years of doing that, I think it's time for HMRC to concentrate on some of our citizens dubious tax contributions".

Unless I'm mistaken, this seemed to imply you felt tax should be getting collected from other people than yourself because you've paid tax for 60 years...

TUVOK

Thank you for making it clear that I was not touting for illegal tax avoidance schemes.

As for my comment about the time that I have paid tax for, yes I am referring to many people who use tax avoidance schemes, many personalities have recently been "found out", but that makes you wonder that with a decreasing HMRC work force how many others are dodging there dues!

Also let us not forget several multi-national firms like Amazon etc who pay little or no tax.
The point that I am making is that in these times of national peril, HMRC should concentrate on such matters.
In no way am I avoiding my legal tax obligations.

penners324

So asking for dubious was to reduce your tax bill is for you but not anyone else?

BoGoF

TUVOK wrote: »

Thank you for making it clear that I was not touting for illegal tax avoidance schemes.

As for my comment about the time that I have paid tax for, yes I am referring to many people who use tax avoidance schemes, many personalities have recently been "found out", but that makes you wonder that with a decreasing HMRC work force how many others are dodging there dues!

Also let us not forget several multi-national firms like Amazon etc who pay little or no tax.
The point that I am making is that in these times of national peril, HMRC should concentrate on such matters.
In no way am I avoiding my legal tax obligations.

Amazon (and others) will also argue they are not avoiding their legal tax obligations.