How to tackle the new tax regime

This coming April's tax changes include a 50% income-tax band for high earners with salaries of more than £150,000. So minimising your bill is crucial. Fortunately, says Ruth Jackson, there are several simple ways to shield your cash from the taxman.

There's just one month to go before taxes are hiked again. April's changes include a 50% income-tax band for high earners with salaries of more than £150,000. So minimising your bill is crucial. Fortunately, there are several simple ways to shield your cash from the taxman.

The first, and easiest of these, is to make the most of individual savings accounts (Isas). Every year you are entitled to put £7,200 (or £10,200 if you are aged over 50) rising to £10,200 for everyone on 6 April into one of these tax wrappers. This money can then grow free from further income- and capital-gains tax (CGT). For more information on how Isas work, and which one to pick, see this week's special supplement.

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Ruth Jackson-Kirby

Ruth Jackson-Kirby is a freelance personal finance journalist with 17 years’ experience, writing about everything from savings accounts and credit cards to pensions, property and pet insurance.

Ruth started her career at MoneyWeek after graduating with an MA from the University of St Andrews, and she continues to contribute regular articles to our personal finance section. After leaving MoneyWeek she went on to become deputy editor of Moneywise before becoming a freelance journalist.

Ruth writes regularly for national publications including The Sunday Times, The Times, The Mail on Sunday and Good Housekeeping, among many other titles both online and offline.