Never before has calculating income tax been so challenging. There are now 6 changes to tax rates on incomes up to £150,000pa, and this doesn’t include any changes in national insurance, student loans deductions or child benefit.
We work closely with our clients to make sure they are taking an income from their business, paying as little tax as possible. The key is to try and plan in advance where possible. Obviously there will inevitably be changes but the best advice we can give is simply to talk to us. Any change, such as new or reduced sources of income, a bonus/lump sum amount or starting to draw a pension may have a significant impact on the tax paid and consequently the best way to take income out of a company.
If you’d like some advice please do call Michael Burgess on 01782 279615.