The new revenue recognition standard is one of the most significant accounting changes in the last decade and depending upon the complexity of your business may require substantial investment of time and resource from some of your most senior people. If you are to achieve compliance, it is not just about a change to your accounting policy but will require an in-depth review and likely change to your existing processes and systems.
The Seed Enterprise Investment Scheme (SEIS) and Enterprise Investment Scheme (EIS) offer attractive investment opportunities for individual investors which in turn allow young entrepreneurial UK companies to raise funding to facilitate growth and expansion plans. However, the generous tax reliefs which make SEIS & EIS opportunities attractive for investors have recently become a lot more complicated to secure!
The emissions of a car purchased by a business can have a big impact on the timing of the tax reliefs that be achieved by Capital Allowances.
For a number of years, the UK Government has had a drive to make the UK corporation tax (UKCT) system one of the most competitive in the world. With Brexit looming, this takes an ever increasing importance: once the UK is outside the EU, having a competitive UKCT system is a vital strand that both attracts multinationals into the UK economy, and seeks to prevent corporate behaviours which aim to shift profits outwith the UK tax net.
There are many reasons for valuing private business whether you are considering investing, selling, transferring an interest in a business, setting up a tax efficient employee ownership scheme or looking to resolve a dispute. Whatever your intention, fully understanding the value of the business in question is an important and useful exercise, allowing you to make the right decisions.
The disposal of a business should always be driven by the commercial objectives of the buyer and the seller and tax planning should not distract from this. However, ensuring an exit is implemented in the most tax efficient manner can help bridge any commercial disparities between the two parties. Often tax planning structures require to be put in place prior to a disposal but, without a crystal ball, it is difficult to predict when an exit opportunity will arise. However, reviewing the existing company structure and shareholding profile should be considered to increase tax efficiencies prior to selling an entrepreneurial company.