As a new financial year commences for companies on 1 April 2024, and a new tax year for individuals on 6 April 2024, it’s a good opportunity to get yourself up to speed with upcoming changes to tax regulations.
The Tax Faculty of ICAEW has compiled a concise reference guide summarising the significant changes coming into effect from 1 or 6 April 2024. Links are provided to additional Tax Faculty resources, such as tax news, TAXline articles, and TAXguides, to facilitate further exploration. Please be aware that this guide does not cover changes that might occur during the 2024 financial year or the 2024/25 tax year, such as measures implemented following the Royal Assent of the Finance Bill 2024. See the ICAEW’s guide here.
Equally noteworthy alongside the changes in April is what remains unchanged. For instance, the UK government has opted to maintain the income tax personal allowance and the thresholds for income tax rates at the levels set in April 2021. This decision not to adjust various tax allowances and thresholds not only results in potentially higher tax liabilities for many individuals but also increases overall involvement with the tax system.
It is probable that more individuals will now fall under the self-assessment regime and encounter complex tax regulations for the first time. Matters to consider include the validity or benefits of ongoing claims to marriage allowance and the potential for making gift aid donations or pension contributions when the taxpayer’s income surpasses one of the income tax thresholds (e.g., £100,000 for the reduction of the personal allowance).
This article was last updated on 11 March 2024 to reflect the measures announced by the government in the Spring Budget 2024.
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