|
|
|
|
We can make a difference!Many clients only think of seeking advice once the tax liability has been crystallized. This is unfortunate since most strategies need to be put in place before the relevant transaction takes place (although we can help even in post transaction situations). At the heart of any successful tax planning is a thoughtful strategy for reducing or eliminating unnecessary taxes and decreasing future exposure. As proactive planners and advisors, Kestrel Taxation Services Ltd. will develop and evolve an integrated strategy which can include retirement planning, income shifting and timing of payments, sometimes involving the use of trusts, to reduce your taxes. Time is a valuable commodity for all business people and we appreciate that you need a service that is effective within the framework of your own particular business. We will plan assignments carefully with you in advance. This includes setting target delivery dates that suit you. We will advise you promptly so you have time to make informed and thoughtful decisions. TABLE OF CONTENTS
Please note: these are just typical of some of the things we can do. We are pleased to accept one-off assignments to produce a tailor made Tax / NIC mitigation strategy.
EX PAT ISSUESWe frequently advise ex patriots, including people going to work abroad or returning to the UK from foreign assignments. Recent assignments have included reduction of the double taxation burden of workers in Germany, Portugal, Switzerland, USA and countless other countries. For example, we assisted a worker in Portugal to legitimately avoid all taxation in respect of salary of £100,000. AN ALTERNATIVE TO A FUNDED UNAPPROVED PENSION SCHEMEThe trouble with a standard Funded Unapproved Pension Scheme (FURBS) is that there is a tax charge on the member in respect of all contributions made to the fund by the employer. This problem is avoided by using our alternative trust arrangement. Thus the net Contributions by the employer can be increased by 40% and the accumulated tax free value of the trust therefore grows much greater than an equivalent FURBS. The advantages of this different approach are:
Back to Table of Contents (on this page)
RETIREMENT RELIEF PRESERVATIONIf you are entitled to Retirement Relief please do ensure that you take steps to preserve this valuable tax exemption and reduction. Unless the correct steps are taken this may be lost forever. A relatively simple trust arrangement is all that is necessary to secure these benefits. Back to Table of Contents (on this page)
INHERITANCE TAX SCHEMEWe can assist anyone to legitimately avoid the Inheritance Tax burden associated with the family home. It also succeeds where conventional planning involving potentially exempt transfers is not appropriate. Back to Table of Contents (on this page)
NIC PLANNINGSo you want to pay yourself a bonus without incurring a NIC liability. You should first of ask yourself what you want to do with the money! If you are going to spend it , then it might be a good idea to let the company buy whatever it is and give it to you as a benefit in kind. It is crucial, to achieve Tax/NI advantages, to go about this the right way and attention to detail, including using the 'right' form of words is extremely important. We have helped people same significant sums as regards all manner of assets. We even have a way to let the company buy a house and pass it to the director without a double stamp duty cost. It is feasible to adopt a remuneration package for all manner of staff and employees using this approach. Back to Table of Contents (on this page)
REDUCED CAR BENEFIT SCHEMEWe are justifiably proud of the Kestrel Reduced Car Benefit Scheme which achieves the following for company owned cars:-
Clearly this method will be of enormous benefit to anyone:
Back to Table of Contents (on this page)
CAPITAL GAINS TAX MITIGATIONWe are always pleased to develop an individual capital gains tax planning strategy in consultation with the client and their existing advisors which is tailored to the clients particular needs and aspirations. As an example, we recently organised a method whereby a business worth £5M could be sold with any CGT liability. In another case we were able to effectively arrange capital losses to shelter the gain. Back to Table of Contents (on this page)
Both the Inland Revenue and the Contributions Agency are targeting self employed workers who work virtually exclusively for one employer, or a series of employers, in an attempt to impose PAYE. There has been no significant change in the law in this area – it is merely the case that the Authorities have moved the goal posts. Hitherto the existence of a 714 certificate meant that the relationship was ‘safe’ but not any longer. Although the imposition of a limited company will overcome the problem from the employers point of view, this merely transfers the PAYE obligation to the ‘worker’. It is however possible to make some subtle changes to the contractual relationship which, depending upon which changes are adopted, make it impossible (or at least very difficult) to impose PAYE. The techniques are based upon ‘inside’ knowledge acquired (I was once an Inland Revenue Schedule E Compliance Officer). They have since been tried and tested and honed by practical experience within large (including Big 5) Accountancy firms and have withstood in depth review by the Authorities. A detailed information pack for the Construction Industry including a specimen Sub-Contractor contract, is available at reasonable cost. Even if PAYE has recently been adopted it may well be possible to unravel this and restore self employed status. Please note: if an 'office' exists (e.g. appointed as a director) then this procedure cannot be used. Back to Table of Contents (on this page)
Back to Table of Contents (on this page)
PricingWe are always pleased to supply firm fee quotations. We prefer to negotiate a method of payment that suits the client, whether by reference to hourly based fees, monthly retainer, an agreed percentage of the real saving achieved by our efforts, or indeed a mixture of these. Upon request we will agree at the outset an the upper limit to our fees. Contact us today for your free consultation. Back to Table of Contents (on this page)Revised: May 25, 1999.
|
Table of ContentsTaxing TimesMy apologies to all subscribers of "Taxing Times". I am afraid that this UK Tax update did not take off due to lack of interest. Copyright Geoff Hurlock © 1997 1998 1999
|
