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A Tips & Advice book about... 

In a nutshell

This book shows how to increase your net income and stay off HMRC’s radar through proper tax planning. It features legally safe ways to save tax on all your dealings as a director. Instead of focusing on schemes, it explains in simple to follow steps how to claim all your entitlements. This new edition has been fully updated with the latest tax rates and deductions.

In detail

In recent years the government has taken an increasingly aggressive approach to tax-saving schemes and arrangements. To ensure HMRC doesn’t run off with the lion’s share of your hard-earned income, our team of experts have put together this book. It covers:

• Tips to make the best use of remuneration strategies such as
  • Salaries, dividends and benefits
  • Pensions
  • Company loans
  • And much more...
• Vital strategies to minimise
  • Income tax
  • National Insurance
  • Capital gains tax
  • Inheritance tax

In this book you’ll find all the key facts and see how to use them through worked examples. It will help you exploit the loopholes and reduce the amount of tax payable.

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We've created this Tips & Advice book especially for... 

Company directors that want to:

• Minimise tax and NI in a legitimate way
• Increase their net income
• Make the best use of remuneration strategies

Tax advisors that want to:

• Help their clients take income from their company in the most tax-efficient ways

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In this Tips & Advice book you'll read about...

1. Salaries

1.1. A director’s perspective

1.2. Minimum salary, the NMW and the NLW

1.3. Salary waiver

1.4. Spouse’s/family members’ salary

1.5. Year-end bonus

1.6. National Insurance employment allowance

1.7. Key points

2. Benefits and expenses

2.1. A director’s perspective

2.2. Tax relief for the company

2.3. School fees

2.4. Moving home

2.5. Cheap-rate or interest-free loans

2.6. More than one company car

2.7. Is a van cheaper?

2.8. Computers and other IT equipment

2.9. Childcare vouchers

2.10. Travel and subsistence costs

2.11. Trivial and minor benefits

2.12. Key points

3. Dividends and distributions

3.1. A director’s and shareholder’s perspective

3.2. Timing payments of dividends

3.3. Dividend waivers

 

3.4. Separate classes of shares

3.5. Dividend income for a spouse or partner

3.6. Dividend income for children

3.7. Key points

4. Pension scheme strategies

4.1. The director’s perspective

4.2. The tax-advantaged pension scheme

4.3. Corporation tax relief for your company

4.4. Salary sacrifice option

4.5. Contribution without earnings

4.6. Ownership of the company’s assets

4.7. Pension fund borrowings summary

4.8. Contribution for a spouse

4.9. Key points

5. Financing the company

5.1. The director’s perspective

5.2. Claiming tax relief on interest on loans to buy shares in or lend money to your company

5.3. Company borrows to acquire assets for your use

5.4. Interest on shareholder loans to the company

5.5. Seed enterprise investment scheme

5.6. Key points

6. Capital allowances

6.1. A director’s perspective

6.2. Timing

6.3. Assets qualifying for a 100% tax allowance

6.4. Key points

7. Buying another company

7.1. The director’s perspective

7.2. Assets or shares?

7.3. Allocation of purchase consideration

7.4. Hive-downs

7.5. Tax due diligence

7.6. Tax indemnities

7.7. Losses

7.8. Borrowing costs

7.9. Stamp duty

7.10. VAT

7.11. Buy-to-sell shares

7.12. Termination payments

7.13. Deferred consideration

7.14. Key points

8. Reorganising share ownership

8.1. The director’s perspective

8.2. Gifts of shares to spouse

8.3. Gifts of shares to family members, employees, etc. 

8.4. Gift holdover relief

8.5. Employment tax charges

8.6. Purchase own shares

8.7. Key points

9. Succession planning

9.1. The director’s perspective

9.2. Preserving business property relief

9.3. Passing shares to the next generation

9.4. Pre-owned assets tax (POAT)

9.5. Business premises personally owned

9.6. Key points

10. Selling your company

10.1. The director’s perspective

10.2. Timing

10.3. Sale of assets and trade

10.4. Sale of shares

10.5. IHT

10.6. Warranties and indemnities

10.7. Anti-avoidance

10.8. Key points

11. Winding up your company

11.1. The director’s perspective

11.2. Capital distribution

11.3. Availability business asset disposal relief

11.4. Last minute dividend?

11.5. Phoenix companies

11.6. Key points

12. Going offshore

12.1. The director’s perspective

12.2. Your own offshore accounts/assets

12.3. Your company’s offshore interests

12.4. Costs and compliance

12.5. Offshore jurisdictions

12.6. When selling your UK company

12.7. Key points

13. Trusts

13.1. The director’s perspective

13.2. The trusts tax regime

13.3. Use of trusts

13.4. Tax implications of creating a trust

13.5. Types of trust

13.6. Key points

14. Income tax planning

14.1. Introduction

14.2. What’s tax free?

14.3. Getting your allowances

14.4. Avoiding the high income child benefit tax charge

14.5. Children’s income

14.6. Overseas income and offshore bonds

14.7. Independent taxation

15. Capital gains tax planning

15.1. Introduction

15.2. What capital gains are not taxable?

15.3. How does capital gains tax work?

15.4. Business asset disposal relief (previously entrepreneurs’ relief)

15.5. Losses and gains

15.6. How to avoid the bed and breakfast rules

15.7. Switching relief between homes

15.8. Selling your garden

15.9. CGT and death

15.10. Further timing issues

15.11. Enterprise investment scheme (EIS) and holdover (deferral) schemes

15.12. Seed enterprise investment scheme (SEIS)

16. Inheritance tax planning

16.1. Introduction

16.2. How much is tax free?

16.3. The nil rate band

16.4. The seven-year rule and taper relief

16.5. Gifts with reservation

16.6. Keeping value outside your estate

16.7. Skipping a generation

16.8. Two nil rate bands for spouses

16.9. Properly drafted wills

16.10. Changing someone’s will after they have died

16.11. The use of trusts

16.12. Reduce your IHT bill by giving to charity

17. National Insurance planning

18. Year-end tax planning

18.1. Income tax

18.2. National Insurance

18.3. Capital gains tax

18.4. Inheritance tax

19. Appendix

19.1. The Scottish tax rates