Business tax planning
Dynamic tax planning designed to fit you
Every UK business has its tax obligations, be it sole traders and income tax or limited companies and corporation tax. Accounting for your tax returns is complex and requires a true handle on your books. But without an expert eye and handle on the leviathan that is the UK tax regime, you might be paying an unnecessarily high amount of tax. That’s where business tax planning comes into play.
Tax season is more than just compliance – for Pearson May, it’s a chance to help businesses keep more capital to use how they see fit, from investment and growth to increased dividends for shareholders. We take that seriously and don’t see our job done until we’ve reduced your tax bill as much as we can.
There is no need to worry, however, as we play everything by the book and are proud of our transparency.
Businesses can reduce their tax bill by claiming tax relief and tax credits, most of which are deducted from your profit before tax is calculated. A tax on a smaller profit then yields a smaller tax bill. So, corporate tax planning may mean you claiming capital allowances on equipment purchases, or claiming R&D tax relief on qualifying research and development expenditures. If your business makes a loss there are opportunities to use this loss to reduce your tax liability or reclaim tax previously paid.
All the while, there is capital gains tax to contend with, whether you’re a company or sole trader. But here again are ways to lessen the blow, such as business asset disposal relief, or mitigate it altogether with gift hold-over relief. Exactly how you will benefit depends on your exact situation, so don’t hesitate to talk to us about your business today.