Did the Spring budget ease cost pressures on your business?
The pressure on business is ever present, but has the Spring budget eased that or piled more on already difficult trading circumstances? Time will tell, but what's important is that you have the support on-board to ensure you don't become economically inactive, to coin a phrase, but as a business are economically proactive.
With the unveiling of tax breaks for business investment in the budget, company size seems to be a key determining factor as to whether you benefit or not.
So, whether you are in a position to benefit from full capital expensing for 3 years, replacing Super Deduction which ends on March 31st, where for every pound invested in IT, plant or machinery, up to an allowance of £1m, can be deducted in full from each year's taxable profits.
Additionally, in a boost to your innovation, perhaps you can benefit from accessing the expanded R&D Tax Credits regime, or falling within one of the twelve new investment zones announced that will enable businesses operating inside them to benefit from enhanced tax relief and lighter-touch regulations.
Whatever your circumstance, if you markedly benefit from all of these, just some or none, the rhythm of your business must continue, even if you are impacted by the increase in corporation tax from 19% to 25% for businesses generating more than £250,000 in profit.
Similar to the fact that the Government's cash flow needs are pressing, so are those of your business and your accountant should enable you to free up as much cash as needed to operate and simultaneously retain more money within the business for future growth.
With these in mind, at GSM financial stability is hard wired into our client businesses, as well being made aware, have a good understanding and take advantage of the tax breaks available.
With such solid financial management and this kind of back-up from GSM, so as to come out the other side of pressurised economic environments, we might just build a good head of steam behind your business,. Contact us today to hear more on 020 7935 3793.