This is a one off tax relief within the new SEIS introduced in March's Budget.

If you have recently exchanged, or expect to before the end of the tax year, eg on a buy-to-let property, and don't welcome the 28% capital gains tax bill, you could take the view that a government subsidy to encourage you to invest your gain in a new company will help you take a risk.

For example, if you sell an asset for £250,000 and make a gain of £50,000, the capital gains tax due @ 28% is £14,000.

You may be aware that income of £150,000 and above suffers a tax rate of 50%.

What is less well known is that at a lower level of income the tax rate is in fact higher than 50%.

For income of between £100,000 and £116,210, the income tax rate is 60%.

You have probably heard of lots of incentives for those who invest in start up companies. This is where individuals pay money to a company in exchange for shares in that company. The tax system helps subsidise the investor's risk in the new unproven business.

But what about your own sole trader business?

It might be small scale and, as there are no shares, it's probably just your money. Aren't you taking a risk? Where are the incentives for you? After all, you might have a good idea which in the future trades from a limited company.

Employees who earn at least £107 per week or £464 per month for a full tax year will be achieving a credit towards the 30 years they need in order to earn a basic state pension.

At these earnings there is no national insurance to pay by you or your employer. Your employer may be your own company.

Therefore, you aren't paying anything to earn a state pension.