Will a 50% tax rate slash your day trading profits?
In the run up to the UK General Election on 8 June 2017 speculation over tax cuts, or in this case tax increases, will continue to be headline news. This is until 9 June 2017 at which point we may get a feel for what the reality actually is but as always, the devil is in the detail, and until any tax changes become law, we can only speculate as to what changes will actually tax place.
The latest teaser from Labour is the proposal of a 45p income tax rate for those earning over £80,000. Currently the 45% tax rate only applies to those earning over £150,000. There is also the suggestion that the 50% tax rate for the highest earners will be re-introduced by Labour.
Download the current 2017/18 income tax rates to see how the current tax rates compare to the proposed changes:
Whether you’re a day trader classed as being self-employed or classed as a private investor, these proposed changes in tax rates will have an impact on your overall tax bill.
With all these changes afoot don’t get caught out. Always plan ahead to keep the taxman at bay.
To read the article in The Independent please click the link http://www.independent.co.uk/news/uk/