Tax Updates
Latest tax news and updates from official sources
Disclaimer: Information sourced from official government websites. Verify details with original sources.
Making Tax Digital for Self Assessment
In March 2025, the government set out plans to lower the income threshold. From 6 April 2028, sole traders and landlords with a qualifying income over £20,000 in the 2026 to 2027 tax year, will need to use Making Tax Digital for Income Tax.
Self Assessment no longer required for Higher Earner Child Benefit Charge
Employed individuals liable to the HICBC will be able to report their child benefit payments through a new digital service and opt to pay HICBC directly through PAYE, without the need to register for Self Assessment.
Capital Gains Tax Updates
For 2025/26,the CGT rates are 18% on gains from most assets, including residential property. This rate is paid by basic-rate taxpayers. 24% on gains from most assets.
Recent Inheritance Tax Updates
The nil-rate band remains frozen at £325,000 until April 2028. The residence nil-rate band is also frozen at £175,000.
Non-Domiciled Tax Status Changes
The government is reforming the tax system for non-UK domiciled individuals. From April 2025, a new residence-based regime will replace the current domicile-based rules.
Income Tax and NI Rates
For 2025-26, the personal allowance remains at £12,570. Basic rate (20%) applies to income up to £50,270, higher rate (40%) up to £125,140.
Recent Stamp Duty Land Tax Changes
First-time buyer relief now applies to properties up to £625,000 (increased from £500,000). The nil-rate band remains at £250,000 for residential properties.
