The Biggest Changes To The 22/23 Financial Year
We welcomed in the financial new year a couple of days ago, and with all the tumultuous events going on throughout the world, we thought it best to see what is changing & what is staying the same for the 22/23 financial year.
What is staying the same in the new financial year?
The basic tax thresholds & allowances are generally staying the same.
- Income tax basic personal allowance remains at £12,500
- Higher rate threshold remains £50,000.
- Corporation Tax remains at 19%
- Tax free dividend allowance remains at £2,000.
- 2020/21 ISA opens with maximum of £20,000
What is changing for the 22/23 tax year?
The government announced that a UK-wide 1.25 percentage point increase in national insurance contributions would be introduced from 6 April, with funds raised ring-fenced for health and social care.
On top of this, Those who earn money from dividends will also see a change in the 2022/23 tax year rates, as the rates at which they are taxed increase by 1.25 per cent, which applies to all dividends declared on or after 6 April.
Capital gains tax annual exemption (individuals) increased to £12,300
Do any of these financial year changes affect your business?
When the tax year ends, you should be notified by HMRC if you are required to fill out a return.
If you are newly self-employed, you will need to register with HMRC for tax and national insurance (NIC) for this to happen.
You must send a tax return if you were self-employed as a “sole trader” and earned more than £1,000 (before taking off anything you can claim tax relief on) or were a partner in a business partnership in the last tax year.
In the case of streamlining the new processes, we have further outlined the benefits eSignatures could bring to your new financial year processes.
Electronic signatures save you time in the new financial year
In the case of wet ink signatures, the same document would be couriered or mailed to each party for signature, which could take days to weeks.
Most notably, parties can electronically authenticate contracts anywhere, at any time from their preferred devices (laptops, phones or tablets).
Real-time visibility of document status takes the guessing games out and informs the sender what activity has been performed by the signer accurately up to the minute. This visibility helps immensely in deciding the next action plan while waiting, especially in a vital contract signing process such as sales or hiring.
Think of all the places a printed document can reside: on your desk, in a drawer, in snail mail, in your car, in someone else’s car. Etcetera.
Electronic signatures significantly reduce the risks of documents being intercepted, read, destroyed, copied, lost or altered while in transit or non-transit.
Electronically signed documents also automatically maintain a record of changes and alterations, providing you with a detailed look at the document’s entire lifecycle and monitoring and keeping track of the document at a level impossible to achieve with paper.
Our eSignatures are safe and secure, with SSL encryption on every page you visit on the Signable website. This means that no one can snoop on your password or the documents you send when you invest in electronic signatures.
Keep on top of your compliance & legitimacy in the new financial year
The difficulty of tracking paper documents can lead to compliance issues when audit season rolls around. If a paper document has been found to have been tampered with somehow, it could lead to regulatory violations and fines.
Essentially, the same things that make e-signing secure also give it an advantage over paper processes in terms of staying compliant with compliance regulations.
Electronic signatures give you better customer service.
Online signature software guarantees the convenience of signing vital documents regardless of where a client is located. This convenience is ideal, particularly if you have clients residing in remote areas. In other words, by investing in an e-sign solution, you give your clients the freedom to be anywhere and do business with your organisation, making services pretty quick.
Ready to invest in a better business for your clients?
If you would like to find out about our flexible pricing structure, look at our plans page. Or, if you’re stuck on how to do an electronic signature, fire any questions you have at us. Make the move, and invest in electronic signatures today.
We can help you get up to speed, and you’ll be sending documents like a pro in minutes, without a piece of paper in sight!