Taxpayers offered tips ahead of new tax year

Date: 23rd March 2010

Sole traders working in the UK could be among those to benefit from new advice issued by one banking organisation ahead of the start of the new tax year.

With April 6th signalling the start of a new 12-month tax cycle, HSBC has published a list of tips aimed at helping taxpayers ensure they are tax efficient over the next year.

One point highlighted by the bank was for taxpayers to ensure they have been issued the correct tax code.

This could be more important than usual this year given the recent problems created by the implementation of a new coding system at HM Revenue & Customs.

David Wells, head of investment, insurance and savings at HSBC, said: "All political parties are in agreement that a major tightening of the nation's belt is necessary over the next few years to reduce the huge burden of public sector debt.

"The likelihood of yet higher taxes, as well as the introduction of new taxes, is therefore almost certain."

Taxpayers have also been advised to use their maximum ISA allowance over the next 12 months.

Due to recent changes, the limit has increased to £10,200 for over 50s and £7,200 for under 50s.