South Wales businesses urged to make New Year resolution to protect your hard-earned income

Small businesses across Llanelli are being urged to make a New Year’s Resolution to protect their hard-earned income in 2012.

 

Roger Bowen who runs TaxAssist Accountants in Llanelli said: “Local businesses in Wales know how tough it is out there and the climate is unlikely to change any time soon.

“Anything they can do in 2012 to protect their hard-earned income, by avoiding penalties from the tax man and claiming everything they’re entitled to, is absolutely vital.”

TaxAssist Accountants has put together a 2012 Top Ten Tips for small businesses in Wales to consider:

• Make your e-mail / mobile phone an “early warning” diary for tax deadlines: not missing the January 31st deadline for self assessment tax returns, for example, saves a fixed penalty of £100

• Take advantage of the new 50% tax relief on initial investment if you’re director of a start-up company

• Receive up to half the minimum wage for the first six months for any new staff, through the new Youth Contract for jobless young people

• Apply for an Employer’s National Insurance Contributions (NICs) holiday: up to £5,000 for each of the first ten employees is available in some regions

• Check the rateable value if you operate from single premises: you could be eligible for up to 100% rate relief

• Claim tax relief on any losses, if you’re a partnership or sole trader

• Think about incorporating your business if you’re paying income tax at 40%

• Reclaim VAT if any of your employees use a rate per mile to calculate business use of their own car and assess the tax implications of changing the ownership of your vehicles

• Claim up to 100% tax relief for certain plant and equipment, such as vans and computer equipment

• Try to put aside at least 25% of any profits for your tax bill – it always pays to be prepared

TaxAssist Accountants Llanelli is a local business, operating across Carmarthen, Llanelli and Swansea, providing tax and accountancy advice and services purely to small businesses.