personal finance

Martin Lewis issues tax warning: ‘It’s over a grand of free cash!’


Martin Lewis highlighted many areas of focus tonight, with some of them centred around the coming tax year. As the 5th quickly approaches, consumers across the UK are running out of time to take action.

While this news will already be beneficial to consumers, Martin explained that there was a separate “big bit!”

As it stands, it is possible to backdate this perk by many years.

The Money Saving Expert broke it down: “You can back claim this for four tax years, back to the year it started.”

This will be great news to those who qualify but Martin warned people must move fast.

“A non-taxpayer with a basic rate taxpayer, do it, it’s over a grand of free cash, people need that now.”

Martin highlighted a number of other financial considerations which are being affected by the tax year. One of the most important being ISA allowances.

Once the new tax year starts, ISA allowances will reset and any unused amounts will be lost.

It is important to put as much money as possible into an ISA as the tax incentives are unlikely to be found in any other product.

Currently up to £20,000 can be invested into ISAs and that amount will remain unchanged as we move into the new tax year.

However junior ISAs are having their limits more than doubled to £9,000.



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