ACCOUNTANTS, TAX CONSULTANTS & ADVISERS TO BUSINESS

121 Trewmount road, Dungannon, BT71 7EF

Writing a successful business plan

Being such busy people, some clients may forget how important a good clear business plan is. Business plans are generally used when a business is experiencing a period of change, for example: starting up a business expanding operations looking at specific projects applying for finance preparing a business for sale However, business plans can be valuable for businesses seeking opportunities, evaluating challenges or simply reviewing their business. Key elements When writing a business plan you first need to establish its purpose and who the target audience is. The most common uses for a business plan are to: help secure finance…
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Extracting Value from Your Company

There are several way to extract value or release funds from your company. The top 10 methods of extracting value are listed below, however options 1 to 3 are normally only available to shareholders who work in the company as a director or employee. Directors’ remuneration and paying salaries to other family members; Provision of benefits in kind and company shares; Pension contributions; Dividends; Charging rent on personally owned property which is used by the company; Selling assets to the company; Charging interest on loans to the company; Loans or advances from the company; Purchase of own shares; and Liquidation…
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50 Ways to Save Tax

To ensure you keep as much of what you earn as possible, we have examined the opportunities for practical tax planning that exist and created this guide covering 50 ways that you can reduce your liabilities. For ease of use, we have split the ideas up into sections covering Income Tax, Capital Gains Tax, Inheritance Tax, Capital Allowances and Corporation Tax. Income Tax Utilise your full Personal Allowance, which is £7,475 in the tax year 2011/12. Avoid the age allowance clawback bands – if you are over 65 and earning £24,000 or more, your tax allowance reduces by £1 for…
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Pool Car Pitfalls

Be wary of your treatment ‘pooled’ cars, clapped out bangers, and most of all be careful of clapped out bangers that you call a pooled car. The recent tribunal case Yum Yum Ltd v HMRC (TC616) reinforces how difficult it can be to class a company-owned car as a pool car for tax purposes. The company alleged that the car (which was the only company vehicle and was kept overnight at the controlling director’s house) was a ‘pooled car’ on the grounds that company records were kept at the house and thus this was property occupied by the company. Whilst the judge…
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Year End Tax Planning

The importance of real time information for tax planning can’t be understated. With the end of the tax year fast approaching, now is the ideal time to review the tax efficiency of your financial affairs Use your ISA allowanceThe current ISA allowance is £10,680 per person of which up to £5,340 can be held in a Cash ISA. From 6th April the allowance will increase to £11,280 (£5.640 for Cash ISAs). Returns from ISAs are not subject to Income Tax or Capital Gains Tax. So why pay tax on savings when you don’t have to?And don’t forget that Junior ISAs…
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Powers to prevent deliberate non-payment of PAYE

From 6 April 2012 HM Revenue & Customs (HMRC) will be able to ask employers to pay a security where there is serious risk that they won’t pay over their PAYE tax deductions or Class 1 National Insurance contributions (NICs). This will not affect the vast majority of employers who pay their tax on time and in full. And it won’t be used for employers who are having genuine problems. Why HMRC has been given this new power Businesses have repeatedly told HMRC that they resent the unfair advantage gained by those who don’t meet their tax obligations. HMRC is…
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Revenue reminder on new tax return penalties

New penalties were introduced on 6 April 2011 for Self-Assessment customers who fail to meet their tax return and payment deadlines. HM Revenue & Customs (HMRC) is reminding individuals and businesses about new Self-Assessment penalties for late returns and late payments, which come into effect this autumn. The changes will affect Self-Assessment returns for 2010/11, and all future financial years. The new penalties for late Self-Assessment returns are: an initial £100 fixed penalty, which will now apply even if there is no tax to pay, or if the tax due is paid on time; after 3 months, additional daily penalties…
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€40,000 tax exemption for Irish Start-up companies

Due to the global financial crisis legislation has been introduced to help stimulate economic growth. The Taxes Consolidation Act has been introduced (Section 486C) to promote and encourage new business activity in the traded sector of the Irish economy. The rationale for the policy stems from the recognition of the seriousness of current economic conditions and the availability of liquidity, and so is designed to assist start-up companies to manage their cash flow. New start-up companies which commence to trade in 2010 will be exempt from both corporation tax on trading income and on capital gains on the disposal of trade…
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VAT Bad Debt Relief

As the economic downturn continues, putting pressure on cashflows, perhaps now is time to review your debtor lists to see if VAT Bad Debt Relief claim can be made. This relief allows you to reclaim VAT originally accounted for from HM Revenue & Customs. It is available when at least six months have passed since you originally supplied the goods or the due date of payment. It is not necessary for you to have written off the debt in the accounts but you must have already included the amount claimed in a previous return and paid the VAT. For each…
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Do I need to complete a tax return?

If you have relatively straightforward tax affairs and already pay tax through PAYE (Pay As You Earn) you probably won’t need to complete a tax return. But if you have more complicated tax affairs – or income from several sources – you may need to complete one and failure to do so may result in penalties and surcharges being charged. The most common reasons for needing to fill in a tax return are listed below. If HM Revenue & Customs (HMRC) asks you to complete a tax return for any other reason (this will normally to be to make sure…
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