Lawrence Grant LLP

Did you know… HMRC penalties can increase significantly when issues are not disclosed voluntarily?

Voluntary disclosure may help reduce:

• Financial penalties
• Investigation complexity
• Compliance risks
• Future scrutiny
• Administrative burden

Addressing problems early is often the best approach.

Did you know… dividend payments requires careful legal and financial checks to ensure they are lawful.

Before paying dividends, companies should consider:

• Available distributable profits
• Proper documentation
• Director responsibilities
• Tax implications
• Accounting treatment

Incorrect dividends can create compliance issues.

Did you know… cash flow problems often begin long before money runs out?

Early warning signs include:

• Rising debtor days
• Increasing unpaid tax liabilities
• Frequent overdraft usage
• Supplier payment delays
• Poor forecasting

Monitoring financial data helps identify risks before they escalate.

Did you know… late tax planning often results in higher tax bills?

Many businesses only review their tax position near filing deadlines.

Early planning can help with:

• Allowance utilisation
• Cash flow management
• Profit extraction strategies
• Capital expenditure planning
• Tax efficiency

Proactive planning creates more options than last-minute decisions.

Did you know… inflation changes business profitability even when revenue increases?

Higher turnover does not always mean stronger performance.

Rising costs in:

• Staffing
• Rent
• Utilities
• Financing

can reduce real margins despite headline growth.

Growth without margin control creates hidden pressure.

🚗 Cut Costs with Travel Deductions
Mileage allowance can be a major tax relief for an employee or self employed using their own car for business trips—if business mileage is for the approved amount.
📌 Tip 1: Keep a log of business journeys and mileage.
📌 Tip 2: Claim 45p/mile for the first 10,000 miles .
📌 Tip 3: Don’t forget travel for client meetings & training.

📞 Lawrence Grant helps maximise travel deductions.

Did you know… lack of proactive personal tax planning is where high earners lose the most?

It’s not about how much you earn—
it’s about how it’s structured.

Without a personal tax advisor or personal accountant:

• Inefficient Dividends vs Salary Structures
• Unused allowances and Reliefs
• Investments are poorly positioned

Effective tax advice focuses on forward planning, not retrospective fixes.

Did you know… most small businesses in London overpay tax every year?

Not because they earn more—
but because they don’t structure correctly.

• No long-term tax planning
• No use of efficient ownership structures
• Ignoring Director/Shareholder strategy - just year-end compliance
• Missing allowances
If you are relying on a small business accountant just to “file and finish,”
you are likely to be missing opportunities in tax planning and should get a London tax accountant's advice.

The gap between compliance and strategy is where money is lost.

Did you know… a Family Investment Company is not just a “wealth tool”—it is also a control mechanism?

Compared to holding investments personally:

• Corporation tax on profits can be lower than personal rates
• Dividends can be distributed strategically across family members
• Control stays with directors, not necessarily shareholders

But it only works when aligned with long-term objectives—not set up as a trend.

Structure without clarity creates complexity, not efficiency.

🏢 How Much Corporation Tax Will You Pay?
Know the latest corporation tax brackets for your business.
📌 Tip 1: Small profits rate 19% for profits under £ 50,000.
📌 Tip 2: The Main rate is 25% for profits over £250,000.
📌 Tip 3: May be entitled to ‘Marginal Relief’ if profits are between £50,000 and £250,000.
📌 Tip 4: The above limits are also proportionately reduced by the number of associated companies your company has.

📞 Lawrence Grant helps businesses stay tax-efficient.