Corporate Tax Planning

Why Progeny?

We are the first firm in the UK to bring together independent financial planning, asset management, tax, HR, property, private and corporate legal services.

We aim to achieve the very best for investors, businesses, family offices and charities with our diversity of expertise. Matching you with the right team of professionals, we can help you to achieve your needs and goals.

Over 40 years of experience

With over 40 years of experience, we offer unparalleled expertise and trusted guidance to help you achieve your financial goals confidently and effectively.

Regulated by solicitors regulation authority

Progeny Law & Tax are authorised and regulated by the Solicitors’ Regulation Authority, meaning we are dedicated to upholding professional standards within the industry.

Global reach

With dedicated offices worldwide providing financial services across the globe, meaning wherever you are, our comprehensive global network ensures seamless access to expert financial services tailored to your needs.

How we can help with your tax planning

We can assist with all tax relief planning. Some of the most common options available include:

Securing Entrepreneur’s Relief on a business sale

The qualifying criteria are relatively easy to meet if business owners plan for the sale more than 12 months ahead of the scheduled sale date. This allows them to lower their tax rate from 20% to 10% and spread the value and related tax saving across family members to maximise the tax saving.

Protecting Business Relief

Many owner-managers are unaware of the need to ensure their business remains a ‘trading’ business in the eyes of HMRC. Sometimes they can fall foul of their own success by accumulating cash or non-trading assets, meaning the business will not qualify for Business Relief on death. They can find their business value being taxed at 40% on death rather than 0% if they don’t consider this in advance.

Enterprise Investment Scheme compliance

EIS helps small businesses raise money to grow by offering tax relief to individual investors who buy shares in the company. We make sure your business complies with EIS requirements to maximise investment into your company while keeping risk as low as possible.

Remuneration packages

Working with our wealth management team, we can help to structure tax-efficient remuneration packages for senior managers.

Family succession planning

Our private legal team can help advise on family succession planning and how to mitigate the impact of inheritance tax on your estate.

Frequently Asked Questions

What is corporate tax planning?

Corporate tax planning involves strategising and managing a company’s financial affairs to minimise its tax liability within the legal framework. This process includes analysing the company’s income, expenses, investments and deductions to optimise tax efficiency. Effective corporate tax planning ensures that the business complies with tax laws while taking advantage of available tax benefits and incentives to enhance profitability.

How can corporate tax planning benefit my business?

Effective tax planning can reduce your tax burden, improve cash flow and help your business take advantage of deductions, credits and incentives.

How does corporate tax planning differ from tax compliance?

Corporate tax planning focuses on strategically minimising a company’s tax liability by leveraging deductions, credits and legal tax-saving opportunities. It involves forward-looking strategies to optimise tax outcomes.

In contrast, tax compliance ensures that a business meets all legal tax obligations, such as filing accurate returns and paying taxes on time. While tax planning is proactive, tax compliance is reactive, ensuring the company adheres to existing tax laws and regulations. Both are essential for a business to manage its taxes effectively.

When is the best time to start corporate tax planning for my business?

The best time to start corporate tax planning for your business is as early as possible, ideally at the inception of the company. Early planning allows you to structure your business in a tax-efficient manner and take advantage of available deductions, credits and tax-saving strategies throughout the fiscal year. Regularly revisiting your tax plan ensures that your business remains compliant and maximises opportunities to reduce tax liabilities as it grows and evolves.

What are the risks of not engaging in proper tax planning?

Not engaging in proper tax planning can lead to several risks, including higher tax liabilities due to missed deductions and credits, financial penalties for non-compliance with tax regulations, and inefficient use of resources. It may also result in cash flow issues, unexpected tax bills and lost opportunities for tax savings that could support business growth. Overall, inadequate tax planning can hinder a company’s financial stability and long-term success.