You don’t want to pay more tax than you need to, and we can help you make sure you have all the appropriate tax mitigation strategies in place.
Paying tax is an obligation we all share, but no one wants to pay more tax than is necessary. We take a careful look at your overall tax position and can help put in place a series of tax mitigation steps to reduce your bill – all acceptable strategies, not illegal tax evasion. Any tax savings achieved will depend on your personal and business circumstances, and the tax rules applying at the time.
Contributions to company pensions
One of the most effective elements in any company owner’s tax mitigation strategy is to make pension contributions. Such contributions from a company to a pension scheme are like to be fully allowable when calculating the profits chargeable to corporation tax. The tax treatment of pension contributions can change, and the value of any pension investments will depend on how the underlying investments perform over time.
Remuneration
The way in which you draw income from your company can be an important consideration. For instance, by reducing your salary and maximising your use of dividends, your national insurance liability can be reduced. Another advantage is that the dividend payments have no tax consequences for the company. The most suitable approach will depend on your individual circumstances and the tax rules in force at the time.
Allowances
There are a number of allowances available that can reduce your company’s corporation tax liability, and we can help make sure they are all being claimed. For instance, are there research and development reliefs or capital allowances that are not currently being claimed? We’ll take a careful look at what is and isn’t available to your company, and put steps in place to make the most efficient use of your allowances. The availability and value of any allowances or reliefs will depend on your circumstances and may change as legislation evolves.