A new single tier state pension is to be introduced for those reaching state pension age from 6 April 2016 onwards. According to research by the Department for Work and Pensions (DWP) many pensioners will receive a boost from the new single tier pension following its introduction from 6 April 2016.

Under the ‘flat-rate’ system, new pensioners could receive up to £155.65 per week, compared to the current state pension entitlement of £119.30.

The press release states:

‘The data shows the long-term impact of the new State Pension on people’s pensions, with 75% of people set to gain in the first 15 years.

The move to the new system will provide a boost to the State Pension for many women, with over 3 million women receiving an average of £11 more per week by 2030 as a result of the changes, – helping to address the gender inequalities that have persisted under the old scheme.’

To find out what your pension entitlement is visit www.gov.uk/state-pension-statement

Internet link: GOV.UK news

For those individuals who have previously submitted ‘paper’ self assessment tax returns the deadline for the 2015/16 return is 31 October 2016. Returns submitted after that date must be submitted electronically or they will incur a minimum penalty of £100. The penalty applies even when there is no tax to pay or the tax is paid on time.

If you would like any help with the completion of your return please do get in touch.

Internet link: GOV.UK Self Assessment

 Merry Christmas to everyone from all at McGinty Demack!

HMRC have reported that:

• a record breaking 24,546 people submitted their tax return online on New Year’s Eve
• more than 11,467 people sent off their self assessment tax return on New Year’s Day
• and in excess of 2,000 taxpayers submitted their tax returns on Christmas Day.

Ruth Owen, Director General of Personal Tax, HMRC, said:

‘As we all enjoy the festive season it’s easy to see how completing your tax return can be forgotten, but the 31 January deadline will be here quicker than we think.’

The deadline for sending 2014/15 tax returns to HMRC, and paying any tax owed, is 31 January 2016. Please contact us if you need help with your self assessment return.

Internet link: GOV.UK news

HMRC have set up a helpline (number is 0800 904 7900) and will enable anyone affected to get practical help and advice on a wide range of tax problems they may be facing. HMRC will also:

• agree instalment arrangements where taxpayers are unable to pay as a result of the floods
• agree a practical approach when individuals and businesses have lost vital records in the floods
• suspend debt collection proceedings for those affected by the floods
• cancel penalties when the taxpayer has missed statutory deadlines.

Internet link: GOV.UK news