Income Tax Planning

The self-employed, including partners in businesses, company directors, high earning individuals and those with sources of untaxed income, such as property rental income, have to complete annual tax returns (self-assessment tax returns) and submit these to HM Revenue & Customs. Income tax payable is calculated based upon total income from all sources, after deducting any allowances and reliefs.

At Mapus-Smith & Lemmon we can prepare the simplest return through to the most complicated.

Keeping accurate and up to date records is the key to income tax planning, this enables us to:

- Calculate tax liabilities, or even tax repayments at an early stage -
- Identify tax planning opportunities at an early stage -
- Cash flow can be planned carefully once tax liabilities are known -
It is beneficial for all tax payers to submit their tax returns sooner rather than later as once the end of a tax year has passed often no tax saving measures can be identified.

Pre end of year tax planning can help identify measures to maximise tax reliefs and allowances such as:

- Capital equipment purchases and utilising the “Annual Investment Allowance” -
- Pension payments attracting maximum tax relief -
- Tax efficient savings, such as ISA’s -
- Maximising tax allowable expenditure -
- Identifying other tax efficient investments such as Enterprise Investment Scheme “EIS” or Venture Capital Trusts “VCT” -

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