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Five simple ways to save you tax when paying yourself from your business
In spite of the UK being one of the highest taxed countries in the world there remain numerous ways to save taxation writes Tony Byrne, managing director of Wealth & Tax Management n Pay yourself dividends rather than salary
Unfortunately, I rarely find that business owners maximise their tax mitigation opportunities. For the life of me I do not understand why. Here are five simple ways to save you tax on the sums you withdraw from your business.
This strategy is not as clear cut as it used to be. However, it will still save you taxation overall under many circumstances. Worth running past your accountant. n Pay your spouse or partner and your children/ dependants, not just yourself n Maximise employer pension contributions to your pension and your family members’ pensions
Again, one to check with your accountant. Usually it has to be a bona fide employment so it will not work for minors.
This is a tax free benefit in kind so well worth doing now that the annual allowance for maximum pension contributions has increased
Tony Byrne
to £60,000 per annum per person.
Join benefit in kind especially for 100 per cent electric vehicles. n Claim as many legitimate business expenses as possible
If you are interested in ways to save tax, take advantage of a one-hour Discovery Meeting either at our offices or via a video conference call at our expense worth £270 to each of the first three readers who contact us before December 31 2023. You know it makes sense. We offer a great cup of coffee too.
Ring us on 01908 523740 or for free on 0800 980 4516 or email wealth@wealthandtax.co.uk and quote DECEMBER 2023 OFFER to book your free Discovery Meeting.
If the expense is genuinely a business one then get your business to pay for it. If your business is VAT registered and it is a VAT receipt you can not only claim back the VAT at a rate of 20 per cent but also Corporation Tax relief of up to 25 per cent.
Ian Pryce CBE retires as CEO of The Bedford College Group having transformed educational and training opportunities across the region. Businesses and politicians will pay tribute to him at a special event in Bedford on December 7.
