Some key tax rules are changing that will effect small businesses. These include
New dividend tax rules ….. essentially after individually receiving £5,000 dividend (a year) a 7.5% extra tax will be incurred by the shareholder.
Employment Allowance restrictions are also increasing ….. service companies and one man director businesses are excluded
Removal of P11D dispensations ….. essentially certain expenses that businesses paid employees (including directors) could be excluded from BIK reporting (BIK = Benefit in Kind), now [from April 16 but in 16/17 reporting] more [not all] will need to be reported on a P11D [for the PAYE year 2016 17].
Auto enrolment starts to effect small businesses and you should be have received information on this as to your enrolment date. Some small businesses are exempt.
but there is also some potential good news ….
with the changes to “rental” income allowance for 2017 18, by the use of a licence agreement for home use you could potentially save some tax (potentially £500 to £2,000). As always we will wait for the detail regulations next year.
Please seek tailored advice on how these will effect your buiness.