As a taxpayer, you certainly cannot ignore your tax that has to be paid. But, what you can do is look for ways to reduce it.

To help you reduce your tax bill, here is a list of useful tips just for you.

1. Top up your pension

Making payments into your pension can help reduce the tax. Thus, if you have planned to work past state retirement age, making payments into your pension will reduce adjusted net income used for calculating personal allowance.

If you have got an occupational income, your employer will deduct the pension payments from your salary before cutting off the tax. And if you are self-employed, any contribution to your pension gets a top-up to take basic rate account.

2. Make donations to charity

If you make donations to charity through Gift Aid, it can reduce your adjusted net income. Besides, a higher tax rate relief is also available if you come under a higher tax bracket.

3. Move valuable assets to your partner

Are you married or in civil partnership? Does your partner pay a basic rate tax? If yes, then you should move your assets including savings or equities into your partner’s name. By doing this, your income will be reduced to a low level at which your personal allowance is withdrawn.

4. Transfer to capital growth-generating investments

If you have investments that create high dividends each year, you need to move them to capital growth investments. As a result, your taxable dividend income will be reduced and can use capital gains tax allowance while cashing in your investment.

5. Get the tax codes right

Many of you make the mistake of using wrong tax code which can lead to over payment of tax. For this reason, you need to check tax codes and get them right. By doing this, you will be able to reduce some amount of tax from the overpayment.

To keep your taxes in the minimum level, make sure to learn and apply all these legitimate tips.