Women urged to act on tax savings

New research has shown that women are less than half as likely as men to try and cut their unnecessary tax payments.

Analysis carried out by Prudential and unbiased.co.uk found that only seven per cent of women took any steps to reduce their tax bill in the past year, compared with 19 per cent of men.

The organisations’ 2015 TaxAction Report found that nearly half of the women (47 per cent) did not take advantage of tax reliefs and allowances because they believed they could not pay any less tax, compared with 42 per cent of men.

Three times as many men as women said capital gains tax was their number one concern. More men (31 per cent) thought the value of their estate would go over the current £325,000 inheritance tax threshold, compared to 20 per cent of women, but both were equally likely to seek professional advice on this.

The research did find that women were more likely to prioritise managing tax on their savings, particularly in the form of cash ISAs.

Les Cameron, tax specialist at Prudential, said on 22 June: “There are lots of different forms of tax to consider and any potential savings will depend on each person’s individual circumstances.

“By seeking financial advice from an appropriately qualified adviser, people can better understand how they can make the most of their savings.”

Karen Barrett, chief executive of unbiased.co.uk, added: “Anyone who isn’t sure of their tax saving options and allowances could most probably benefit from consulting an adviser.

“Whether it’s something as simple as using our ISA allowances, or more complex matters such as inheritance tax planning, there’s probably action we could all be taking to lessen our tax burden.”

Link: The TaxAction Report