2. The Survey
• Fidelity Investments conducted a survey to test the
nation on their knowledge of the personal taxes they
pay
• They spoke to 2,000 people
• Asked 4 Questions
• Weighted sample to nationally representative criteria
• How would you have faired......?
4. Test your knowledge
1. What is the income tax threshold for the higher
rate of tax?
• £37,400
• Only 9% of the population could identify £37,400 as the correct higher rate of
tax and more worryingly a quarter of people earning more than £50,000 think
they only pay a basic rate of tax.
6. Test your knowledge
2. What is the CGT limit?
• 18% on all gains over £10,200 for Basic Rate Tax
Payers (28% for Higher Rate and Additional Rate
Tax Payers)
• Only 6% of people know the Capital Gains Tax limit
10. Test your knowledge
4. Is tax payable on savings accounts and premium bonds?
• Yes and No.
• Only 67% of population know that you pay tax on the interest earned
through savings accounts and 48% do not realise that you don't pay any
tax on premium bond prizes.
11. Survey results
• 33 million: Estimated number of UK tax payers who say
they are confused about tax
• 1 in 7 of UK taxpayers do not know their tax band
• 25% of people earning more than £50,000 think they only
pay basic rate of tax
• 17% say they don’t understand their tax position at all,
• 11% of the people ‘just pay their tax’ and don’t bother
checking their tax bill
12. What steps have people taken to
become more tax efficient?
• 38% of people haven’t done anything about reducing their tax
liability
• 25% think there is nothing they can do to mitigate their liability,
• Only 15% have made use of tax efficient wrappers
• 16% think they can't do anything about the tax impact on
interest/returns
• Professional Advice?
– 23% have seen an accountant
– 12% have gone to see an IFA
– 15% haven’t done anything at all
13. Confusion over ‘tax’ products....
• Just 30% of population don’t know that there is no tax to
pay on an ISA
• Only 9% understand its relevance and implications
• Only 10% of employees who contribute to a company
pension scheme pay in the full amount
• Of those who do contribute, 22% still don't know the tax
advantages their company pension scheme affords them
14. How can we help?
• Contact us through our website to arrange an appointment:
www.holderandcombes.co.uk
• Or call
020 7562 5855
We can establish your tax position
Identify potential tax savings to be made
Ensure tax compliance for you