Are you minimising your Ltd company’s tax?

No primary category set

Tax PlanningThe end of the tax year is just a few weeks away and my accountant, Simon Witcomb, suggested a few tax planning ideas you might like to consider before it’s too late:

Make full use of the basic rate tax band

If you own a limited company, it is necessary to declare and pay dividends before 5 April 2015, in order to make full use of the basic rate tax band. You can always loan the money back to the company if you do not need it.

Consider the EIS

If you have excess funds in your company, it is possible to pay yourself a dividend, incurring higher rate tax, but using the Enterprise Investment Scheme to recover the tax over four years.

Bring capital expenditure forward

If you are already planning capital expenditure or major revenue expenditure, it is best to incur the cost before the end of your business’s financial year end, so the that tax relief is received as soon as possible.

Top up your pension fund

A contribution to a pension fund will reduce higher rate tax.

If you’ve any other ideas for tax planning we’d love to hear them

5 Responses

  1. If this was QI, the klaxon would be about to off!!

    Try HSBC, i hear they are quite good at this.

    Lee

RELATED POSTS..

2024 US Tax Policy Predictions with Scott Peterson, Avalara

2024 US Tax Policy Predictions with Scott Peterson, Avalara

SVB Bank impact on ecommerce

SVB Bank impact on Etsy & Shopify

2023 accounting and tax changes from HMRC

2023 accounting and tax changes from HMRC

Collecting-tax-a-focus-for-all-Governments-shutterstock_1514468156

Collecting tax a focus for all Governments

iwocaPay-for-B2B-suppliers-and-buyers

iwocaPay for B2B suppliers and buyers

ChannelX Guide...

Featured in this article from the ChannelX Guide – companies that can help you grow and manage your business.

Latest

Take a look through a selection of the latest articles on ChannelX

Register for Newsletter

Receive 5 newsletters per week

Gain access to all research

Be notified of upcoming events and webinars