Your assignment is to prepare and submit a paper on planning personal finance. In case of dividend if the income is received or accumulated it is given a credit @ 10%. For example, if an investor gets a dividend of 90p then total dividend would be counted as 100p as 10% credit built in it.

Tax payers who fall in starting rate and basic rates and non tax payers does not have to do any other things in this regard. No refund will be accommodated by HMRC (Her Majestys Revenue and Customs) on this claim by non tax payers.

It should be noted that the losses made on disposals can be adjusted with profits made during the year and then the tax would be calculated. Further the losses accumulated can be carried forward for indefinite period.

Term life assurance is a policy which gives coverage at a fixed payment rate for decided period of time which is normally limited in nature. After the period has lapsed coverage automatically expires and the rates and premiums also get changed. It is on the client either to leave the coverage or obtain more coverage by making different payment on different terms and conditions. In case of death of insured during the term, the benefits of insured will be paid to the beneficiaries.

An individual can also make contributions on his own by making an arrangement with an insurance company or some other provider. These schemes will also enjoy similar tax advantages as that of occupational schemes. Normally individuals invest during their employment life and then enjoy the pension in their post retirement life.

There are various advantages attached with an scheme in respect of tax which got itself registered. Some of the advantages are assets grow free from income tax, capital gains tax and corporation tax, employees are allowed to contribute out of their untaxed income and employer contributions are allowed in tax as deductible expenses. Only funded schemes are allowed to get registered.