Create tax efficiencies

Like it or not, every business decision you will ever take is accompanied by a tax consequence.  Whether that tax outcome is favourable or not is up to you – and more importantly, the tax advisers you choose to help navigate you through the stormy seas to arrive in a safe harbour with your cargo of profits still largely intact.

Tax consequences start even before you have started trading.  Favourably in this case because the VAT rules allow you to recover the VAT you have suffered on pre-trading expenditure.  After that, however, it’s downhill all the way.  For example:

the rules on exactly which profits are assessed to tax for the first three years of a sole trader defy any sensible explanation

the subtleties of whether some capital items you buy to use in your business get full tax relief or no tax relief require the precision and understanding of a brain surgeon

then there’s the age old question of how to pay yourself:  by salary, or by dividend, which is better?  Sadly there is no one size fits all answer.  The answer to almost every tax question starts with the words:  “It depends . . . .”

sale or retirement from your business brings the possibility of being lightly taxed on the profits at the Entrepreneur’s Relief rate of  just 10%  But will you get it?  See previous sentence for the answer

Help and relief is at hand.  Go to our Taxation services for a comprehensive description of the areas our Team of Tax Specialists deal with.  You will be in safe hands.