Investing tax-efficiently

The complex world of tax on investment

The whole tax system has grown increasingly elaborate, thanks to revenue-raising tweaks such as the taxation of child benefit and multiple reforms of dividend taxation. As more changes are introduced, the complexities increase.

This guide offers a brief outline of how your investments are currently taxed and future changes (or freezes) that have already been announced.

Download the guide here
Investing tax-efficiently

“While there have been several proposals from outside the current government for income tax and NICs to be combined and for the newly merged tax to be applied to all income, reform looks highly unlikely in the near term.”

Investing tax-efficiently – what is included in the guide:

How your investment income is taxed

Income from investments is generally taxed less than earnings because there is no liability to NICs. We talk you through the process.

Life assurance-linked investment bonds

The tax treatment of single premium life assurance investment bonds often causes confusion. Our example case study illustrates the process.

Capital gains implications

In most circumstances, capital gains are currently taxed more lightly than income, particularly if your net realised gains fall within the annual exempt amount. Our example case study highlights the potentiality for capital gains and losses.

Easing the investment tax burden

There are many ways of reducing the burden of tax on your investments, but you should always take professional advice before acting.

investing tax-efficiently

Our guide offers expert insight into the options available for investing tax-efficiently and mitigating your tax burden.

This article is distributed for educational purposes and should not be considered investment advice or an offer of any security for sale. This article contains the opinions of the author but not necessarily the Firm and does not represent a recommendation of any particular security, strategy or investment product. Information contained herein has been obtained from sources believed to be reliable but is not guaranteed.

Past performance is not indicative of future results and the value of investments can fall as well as rise. No representation is made that the stated results will be replicated.

Dominic Lobo

Dominic Lobo

Associate Director, Wealth

Dominic became a founder and Director of the Quadrant Group in 1994.

Learn more about Dominic Lobo