The week before Christmas we posted an article stressing the value of checking out the tax consequences of investing in new plant and equipment. We stressed the importance of timing.
But this is just one issue that should be considered before the end of the current tax year. Every business owner and individuals with significant earnings, should take time out to consider their planning options before 6 April 2018.
The 5th April may not seem to be a particularly important day, but at midnight on that day 90% of your options to make beneficial changes to your financial circumstances for 2017-18 disappear.
We all have obligations to abide by the law, but it is perfectly acceptable to organise your affairs to retain as much as you can of your hard-won earnings and profit, and still stay within the terms of the UK tax code.
Your planning options for 2017-18 fall into two main groups:
- Strategies to reduce the impact of taxation on your profits and earnings, and
- Strategies to avoid stepping into one or more of the tax “bear traps” that await the unwary tax payer.
- business is different, and every individual has unique financial circumstances. For these reasons it is dangerous to generalise about the possible benefits of tax planning; which is why we recommend year-end tax planning to all our clients and business prospects.
Timing, as the title of this article asserts, really is everything in this regard. If you have a business, or are concerned by the amount of tax you are paying, please call and organise a conversation with us so that we can consider your options for 2017-18. The clock is ticking.