Tax Planning
Tax planning uses financial strategies to minimise tax liabilities and enhance after-tax income through measures such as salary packaging, Capital Gains Tax management, and strategic investments.
Minimise tax liabilities and maximise after tax income
After tax income
After tax income
Maximising after-tax income involves implementing strategic financial planning methods to legally reduce tax obligations. This involves optimising deductions, utilising tax credits, and exploring tax-efficient investments. By minimising tax liabilities, individuals and businesses retain a greater portion of their earnings, enhancing overall financial well-being and flexibility.
Salary packaging
Salary packaging, or salary sacrificing, is a tax-smart strategy for employees seeking to optimise their finances. By receiving non-cash benefits in lieu of part of their salary, individuals can reduce taxable income, potentially lowering tax liabilities.
Capital Gains Tax management
Capital gains tax (CGT) is crucial for tax planning as it taxes profits from asset sales. Strategic planning involves holding assets for over 12 months for lower rates, using exemptions, and offsetting losses to minimise tax. Understanding and managing CGT can significantly impact your overall tax liability and financial outcomes.
Strategic investments
Strategic investments play a crucial role in effective tax planning. By choosing tax-efficient investment vehicles, leveraging Capital Gains Tax exemptions, and planning exits wisely, individuals can optimise after-tax returns. These strategic manoeuvres within the realm of tax planning are not one-size-fits-all and require a tailored approach based on individual financial goals and circumstances.
Tax rates and thresholds
Tax rates and thresholds for the 2025/26 financial year is now available to download. There are so many factors that contribute to the amount of tax you pay and it is important to obtain comprehensive advice. For general tax advice, you should talk to your accountant. Morgans does not provide tax advice, however our investment advice and financial strategies may be structured in a way that can reduce tax and increase after tax returns on your portfolio.
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