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Financial year date…why ?

Have you ever wondered why the government decided that the tax year for personal taxes should run from 6th April to 5th April ?.

This dates back to the Middle Ages.

Lady day was the 25th March (Feast of annunciation of Mary. Rents were paid, servants were hired)

When the Gregorian calendar was adopted in favour of the Julian calendar in 1752 the 2 calendars were out of step by 11 days, due mainly to the different ways leap years were accounted for. As it was felt unacceptable for the tax authorities to lose out of 11 days revenue the start of the tax year was moved to 5 April.

It remained as the 5 April from 1752 until 1799, but was moved to 6 April in 1800 due to a ‘skipped’ Julian calendar leap year day. The start of the Tax year has remained as the 6 April ever since.

Simple !.