How Do SSAS Tax Years Work?
The two things that you need to be mindful of when making contributions to SSAS are:
- The Limited Company year end
- The fiscal year end, which is 6th of April to 5th of April.
Contributions from your Limited Company need to be made before the Company year ends. Common year ends are the 31st of March, 30th of June and 31st of December.
You cannot carry back contributions into a previous corporate tax year. Also, because contributions are personal, you should be aware that in order for the contributions to be included in a given tax year, they must be made before April 5th of each year.
If, during your first year of setting up a SSAS, you are able to get it approved, say in February, you may be eligible for a contribution allowance for the tax year that ends on April 5th of that year. This means that you will also have the opportunity to contribute further in the following tax year.
So, to recap, the tax year and fiscal tax year are the two dates you need to be acutely aware of.
