On form
Is your business trading in the most tax efficient way? Because businesses tend to grow in an organic manner, you may find that your company structure isn't the most suitable- not only operationally, but also with regards your tax liability. For example, changes announced in recent Budgets have meant that rethinking whether you are a sole trader, partnership, limited company or limited liability partnership could be worthwhile.
Valuable savings
Businesses which make sales of less than £150,000 can switch to a flat rate VAT accounting scheme, which is not only simpler to administer, but could result in less VAT being paid as well as improving cash flow. Have you checked whether you're one of those businesses that would be better off this way?
Kind thoughts
Employees are a business's key asset - so by utilising tax-free benefits in kind you'll not only be limiting your tax liability but also keeping an important group of people happy. Start with the small things which may be important to your staff - things like mobile phones, health checks, car parking and pensions, amongst others. Then assess your company's reward package and aim for a tax efficient mix of salary, dividends, bonuses and benefits. Share schemes are also a great idea. Consider enterprise management incentives and approved share option schemes, which are an excellent way of incentivising your employees in a tax efficient manner.
That's a relief
If you're about to invest in a new computer, vehicle, or any other equipment for your business, make sure you think about the best time at which to do this. For example, if you buy the item just before the year end, you will get the tax relief more quickly plus utilise current year allowances, and retain next year's allowances for further capital investment. This also applies to investments in plant and machinery.
Pensions are not just about the future
Consider making further pension contributions - pension schemes represent one of the few government sponsored tax saving vehicles where significant tax relief is still available.
Sale of the century
It may not even have crossed your mind, but planning for the eventual sale of your business - however many years ahead that may be - is something you should be thinking about now in order to avoid a huge tax bill when the day eventually comes. Entrepreneurs relief has just doubled in this year's budget, so make sure you speak to an accountant who can help you best enjoy the fruits of your labour.
Is your business trading in the most tax efficient way? Because businesses tend to grow in an organic manner, you may find that your company structure isn't the most suitable- not only operationally, but also with regards your tax liability. For example, changes announced in recent Budgets have meant that rethinking whether you are a sole trader, partnership, limited company or limited liability partnership could be worthwhile.
Valuable savings
Businesses which make sales of less than £150,000 can switch to a flat rate VAT accounting scheme, which is not only simpler to administer, but could result in less VAT being paid as well as improving cash flow. Have you checked whether you're one of those businesses that would be better off this way?
Kind thoughts
Employees are a business's key asset - so by utilising tax-free benefits in kind you'll not only be limiting your tax liability but also keeping an important group of people happy. Start with the small things which may be important to your staff - things like mobile phones, health checks, car parking and pensions, amongst others. Then assess your company's reward package and aim for a tax efficient mix of salary, dividends, bonuses and benefits. Share schemes are also a great idea. Consider enterprise management incentives and approved share option schemes, which are an excellent way of incentivising your employees in a tax efficient manner.
That's a relief
If you're about to invest in a new computer, vehicle, or any other equipment for your business, make sure you think about the best time at which to do this. For example, if you buy the item just before the year end, you will get the tax relief more quickly plus utilise current year allowances, and retain next year's allowances for further capital investment. This also applies to investments in plant and machinery.
Pensions are not just about the future
Consider making further pension contributions - pension schemes represent one of the few government sponsored tax saving vehicles where significant tax relief is still available.
Sale of the century
It may not even have crossed your mind, but planning for the eventual sale of your business - however many years ahead that may be - is something you should be thinking about now in order to avoid a huge tax bill when the day eventually comes. Entrepreneurs relief has just doubled in this year's budget, so make sure you speak to an accountant who can help you best enjoy the fruits of your labour.
No comments:
Post a Comment