Tax Saving Services

LBW's tax planning is an efficient way to maintain & build on your company's growth. We appreciate that everyone is different, and tailoring a solution to help limit contributions & maintain steady growth simply retains more cashflow in your business from the profits made.

TAXSAVE

What do we do?

We spend whatever time it takes with you making sure the solution fits.

  • Unlimited advice through meetings or phone calls to discuss ideas.
  • Fixed monthly fee.
  • Engage with our clients at every opportunity.
  • This interaction is the catalyst that generates our advice to help you save tax.

How do we do it?

  • Unique pre year end meetings for every client allowing time to structure tax save methods before its too late.
  • Communicate new reliefs and allowances relevant to each client.
  • Identify key areas to explore from client interactions.
  • Considering each client as an individual.
  • Continued professional development.
  • Regular newsletters and updates written inhouse by our expert team.

 

 

Typical areas where we save tax:

Corporate & Income Taxes

  • Use of director loan accounts.
  • 10% tax rate- Entrepreneurs Relief - complex but effective means of substantial tax savings.
  • Government/Employment allowances.
  • Annual Investment Allowance claims for capital expenditure.
  • Enhanced Capital Allowances - on buildings you own.
  • Research and Development – Obtaining additional tax relief for expenditure incurred on Research and Development.
  • Taking advantage of the Personal Savings Allowance from interest received through personal or corporate investments.
  • Discuss use of pension contributions to maximise personal wealth from the business.

VAT

  • Registration and deregistration - Including HMRC flat rate and other schemes for small businesses.
  • Detailed calculations showing effects of rule changes on your business (e.g. the recent Flat rate scheme changes for Limited Cost Traders).
  • Specialist advice on building claims e.g. Option to Tax, Transfer of a going concern etc.
  • Other areas of VAT including import/export.               

Minimising dividend tax

  • Plan with you for dividends to be voted in tax years that may incur lower tax rates. A very topical issue given the new rates of dividend tax the government has imposed.
  • Use of family members and the most appropriate class of share in the distribution of income to key management/owners.
  • Restricting dividends if income is not needed to avoid any unnecessary income tax on the individual.

National Insurance

  • Use of spouse and children's allowances for salaries paid for work done. A strategy that is often overlooked.
  • Payment of dividends instead of salary to achieve tax efficient remuneration.
  • Setting the most tax efficient salary levels for directors taking into account the ever changing state pension rules.

Capital Gains Tax 

  • Use of Entrepreneurs Relief if relevant. This can secure a 10% rate of tax for you.
  • Making use of the annual exemption for each family member surrounding the disposal of a chargeable asset together with other reliefs available on chargeable property sales and other disposals e.g lettings relief and holdover relief.
  • Planning with you to ensure any gains are crystallised in the most tax efficient vehicle and tax period. Avoiding double taxation wherever possible.

4 Stage Exit Strategy

  • Identify an outline of your plan, timing and income requirements.
  • Encourage you to delegate, so you are not indispensable at the time of your exit.
  • Measure personal wealth each year to ensure you are on course for a successful exit. Review annually if you are tax efficiently saving enough personal wealth and accumulating assets that meets the plan.
  • Identify within 3 years the approximate timing of your exit to ensure that you're ready. Consider the options; MBO, MBI, Sale, introduction and eventual passing onto family members or other means (Or a mixture of these that enable you to meet your objectives). It is important to assess the most valuable method of exit, including the tax effect.

Claim for the little things - they add up.

  • Appropriate mileage claims for business travel.
  • Use of home as office.
  • Ensuring the maximum permitted Travel & Subsistence allowance is claimed.
  • Mobile telephones for directors/employees of the business.
  • Most of which need no receipts to support these claims as they can be allowed by HMRC by dispensation.

Entrepreneurs' Relief

Upon the sale or ‘disposal’ of all of part of your business you may be able to pay Capital Gains Tax at the reduced rate of 10%.

Entrepreneurs’ Relief means you’ll pay tax at this rate of 10% on all gains made on qualifying assets (subject to any allowances available).

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Incorporation

At LBW we recognise that all of our clients are unique and require tailored advice. However, in some cases trading through a Limited Company provides a tax efficient vehicle for saving you money.

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PAYE

The Payroll and PAYE operation is fundamental to all businesses. This includes companies where there is only employee i.e the company director/shareholder. Through expert tax planning even a self employed individual with no staff can save significant amounts of tax by folllowing our advice.

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VAT

LBW offer a full VAT service to clients and can help you and your business to plan towards meeting all of the necessary regulations that are in place. We can offer advice to point you towards the most beneficial record keeping systems in order to simplify the VAT process and minimise the amount of work completed by yourselves to meet HM Revenue & Customs record keeping legislation. Records should classify transactions into the current VAT rates - 20%, 5%, 0% and exempt from VAT. Flat rate schemes are useful to many clients.

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Self Assessment Tax Returns

At LBW, we deal with the compliance services surrounding your tax returns, although, the main emphasis of our service is to minimise tax and improve your overall wealth.

With over 70 years combined experience, our tax team are ready to provide professional tax advice and help in day to day queries and there is always someone available to discuss your tax affairs.

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Research and Development

Research and development (R&D) tax relief is intended to drive UK productivity by encouraging innovation.

R&D tax credits and relief are available to businesses for expenditure of a revenue nature (that is, expensed through the profit and loss account) on R&D activities related to a company’s trade.

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Enhanced Capital Allowances

Within any commercial building there may be embedded capital allowances not having been previously claimed. Any such unclaimed items can be identified by industry experts and is addressed as an additional claim made on the face of your tax return (It is not expensed through the profit and loss account).

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ASK A QUESTION

If you would like to ask us a question, or request more information about this service, please contact us below:

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