Business Tax Insider Monthly Newsletter

For an owner-managed business operating as a limited company, there are situations where covering education fees for staff (including directors or employed family members) can offer significant tax savings.

Iain Rankin looks at ways for company owners to pay education fees via the business to maximise tax efficiency.

The government has put in place a number of measures, encompassing both grants and loans, to help individuals and businesses affected by the Covid-19 pandemic. 

Sarah Bradford explains the help available to the self-employed through the self-employment income support scheme.

Winding up a company can be by far the most tax-efficient method of extracting value from it. This is what might be termed the central or ‘classic’ problem of owner-managed business tax planning.

Alan Pink considers the option of winding up a company as tax planning and important points to look out for.

It is common these days for individuals to work from home. For tax purposes, their attention is often focused on claiming tax relief for business expenses incurred while homeworking, or on whether capital gains tax ‘principal private residence’ relief will be restricted when the house is sold. 

Mark McLaughlin looks at working from home and whether it can save stamp duty land tax on the purchase of a home. 

It is relatively common for HM Revenue and Customs (HMRC) to argue that an individual’s activities amount to a trade, so any profits from that activity can be taxed.

Mark McLaughlin looks at one activity where HMRC normally argues that no trade is being carried on.

National Insurance contributions (NICs) are payable by employees, employers and by the self-employed. However, not all classes of NICs are equal. Some classes provide the means to earn entitlement to the state pension and contributory benefits, whereas others are more akin to a tax.

Sarah Bradford explains the National Insurance contributions landscape for 2020/21.

Lee Sharpe looks at tax aspects of converting a general partnership into a limited liability partnership (LLP).

The key benefit of a LLP is that it limits the liability of each of its members (partners).

A management buy-out (MBO) can often be the ideal way for a business owner to realise the value that they have built up in his company over the years. The fact of the matter is that it is often the senior management, rather than an outside purchaser, who are best placed to take over the reins when the main men/women decides to retire, or give up their interest in the business for other reasons.

Alan Pink looks at typical structure for a management buy-out and some issues that can arise.

This article looks at securing the best combination of salary and/or dividends for director/shareholders of their own companies.

Lee Sharpe looks at some important considerations in seeking to optimise salary and dividends in 2020/21. 

Employees often undertake business journeys, either in their own car or a company car. To keep things simple, many employers often opt to use mileage rates to compensate employees for the fuel costs and, where the vehicle is their own, the associated wear and tear. 

Sarah Bradford explains how VAT registered businesses can claim back VAT when they pay mileage payments to employees.

Studies continually show that active employees improve productivity in the workplace; organisations that performed the best in the Britain’s Healthiest Companies Awards (2015) had a 24% lower cost of lost productivity..

Iain Rankin discusses the pros and cons of employers keeping your employees healthy.

In most cases, when taxpayers pay their tax bills it is clear to the taxpayer and HM Revenue and Customs (HMRC) as to which tax liability the payment relates. The payment is allocated accordingly.

Mark McLaughlin warns that it may be in the taxpayer’s best interest to allocate their tax payments against specific liabilities instead of allowing HMRC to do so.