Updated 03 September 2020
Lots of us – particularly in the current economic climate – have got our heads round having our loyalty cards with us when we’re out shopping, or searching online voucher sites for discounts before we head out for a meal.
Checking prices online when making higher value purchases is second nature too and we’re all pleased when we save £10 or £20 as a result.
Why is it then that we still don’t take action to avoid paying too much tax and take advantage of existing tax breaks?
This is such an issue that as a nation we waste up to £12.6bn each year. That’s an average of £421 per taxpayer that could be put back in your pocket – and in many cases it could be much more. Our latest report shows that the biggest area of tax wastage (£7.26bn) was due to income related tax credits, an area likely to affect a large number of people who don’t correctly claimall they could be across child, working and pension tax credits.
How to find out where you could be tax wasting
You could fill in our Tax waste calculator at www.unbiased.co.uk/tax-waste-calculator to get you thinking about where you might be paying too much tax or could maybe claim some back. Why not fill it in, print it off and take it to an IFA to start getting your own tax affairs in better order.
Our Annual Tax Action Report for 2012 lists ten main areas of tax wastage and highlights the vast array of tax schemes, breaks, penalties, benefits and areas of finance that could impact on you. Like anything in life, it is always easier to take effective action if you have support and advice from someone who knows what they are doing and has experienced the same many times before.
Now is a great time to find an independent financial adviser who can advise you – after all – who wouldn’t want extra cash back in their pockets instead of in the HMRC coffers.