Tax planning for business owners


Business tax planning is usually best done before the end of the accounting period, but even if your business year end is not 31 March or 5 April, this is still a good time to review your tax position.


Much capital expenditure can qualify for tax relief. Businesses now get immediate tax relief on the first £100,000 a year spent on most types of equipment and also many fixtures forming part of a building. This limit will go down to £25,000 for expenditure after 5 April 2012, so you might be able to maximise tax relief by bringing forward planned capital expenditure.


Consider when to dispose of cars and equipment. Whether a disposal is before or after your accounting year end will affect your tax payments.