You’re a writer.
You may or may not have heard of creative averaging.
What is it? Does it apply to you?
If you’re an author you’re likely to have fluctuating profits. Good years and bad years.
There is a tax relief that allows you to average your profits over two consecutive years, lowering your total tax paid as you can utilise unused basic rate band in the poor year.
Averaging will only benefit you if the top rate of tax in the two consecutive years is different.
Conditions for claiming:
Scriptwriters cannot claim as their income comes from the service of writing rather than from the works concerned.
Think this could apply to you? Want to know more? Get in touch email@example.com
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