The increasing amounts of legislation governing businesses can place a heavy burden on business owners, board members and management teams. The sheer number of guidelines and regulations applicable to businesses can mean that company decision makers spend much of their time simply trying to ensure the business is complying with the relevant law rather than focusing on strategic business decisions.
The availability of corporate tax services can relieve this pressure on businesses owners and managers by allowing them to access a range of corporate tax services suited to their needs. All businesses must fulfil certain obligations in order to satisfy tax legislation and the use of external corporate tax services allows decision makers to identify the regulations and law relevant to their business and ensure they are fully compliant. Although it is technically possible for business owners to fulfil some of the criteria, in reality tax compliance requires significant expertise rendering the use of corporate tax services a necessity for many businesses. The consequences of failing to comply with the appropriate tax law can be devastating for both the company and the business owners so the use of corporate tax services is advisable in many instances.
In addition to ensuring the business is fully tax compliant, corporate tax services can benefit companies in a number of other ways. Specialist corporate tax service providers can offer advice and information regarding tax efficient business structures before the business is even set up. By obtaining corporate tax services from the outset, business owners are able to reduce their tax liability where appropriate and ensure the appropriation or sale of business assets is tax efficient. For existing businesses, the use of corporate tax services can even enable them to claim back taxes they may have unknowingly overpaid as well as ensuring changes are made to their existing business structure to reduce their tax liability.
Whilst many businesses face corporation tax liability, there are a myriad of other tax issues faced by companies. Corporate tax services can assist businesses with issues such as employee remuneration and benefits, national insurance contributions, pensions, dividends, VAT registration and equity distribution. In addition to the tax issues faced during the day to day running of the business, directors and decision makers may seek advice regarding the tax implications of potential growth strategies, capital allowances or their tax liability in alternative jurisdictions. By obtaining advice from specialist tax corporate service providers, businesses can tailor the service package directly to their needs.
The on-going changes to tax guidelines and legislation can mean businesses need to change or adapt how they operate tax services also enable business to obtain expert advice and training regarding upcoming changes to tax legislation and their impact upon businesses within specific sectors. This gives the management team an opportunity to plan for the changes prior to their implementation, carry out essential risk analysis and apply any necessary changes to the business processes with minimal loss or disruption to the business.
Generally, corporate tax service specialist work with companies and base their services around the company’s needs and long term objectives. By learning about the company and what it aims to achieve, corporate tax experts can advise the company how to achieve these objectives in the most tax efficient manner. By ensuring the business is fully tax compliant and operating in a tax efficient manner, corporate tax services reduce company costs and relieve the business from unnecessary burdens whilst increasing revenue and improving overall profitability.
Baker Tilly is an independent firm of chartered accountants and business advisers, positioned as one of the leading mid-tier accountancy firms. Baker Tilly specialises in Corporate Tax Services to corporate entities.