When you’re running a small company or a family-owned business, every pound counts. Unlike large corporations with in-house financial departments, small business owners often wear multiple hats—making strategic tax planning all the more critical.

At Harvin Tax Accountants, we understand the unique financial dynamics of small enterprises and family-run firms. With over 15 years of experience, we specialize in creating tax strategies that help businesses stay compliant, save money, and support long-term growth.

Why Tax Planning Matters

Effective tax planning isn’t just about reducing your tax bill—although that’s a big part of it. It’s about optimizing the structure of your business, understanding your tax liabilities in advance, and making strategic decisions that align with both short- and long-term goals.

For small and family-owned businesses, this could mean:

• Choosing the right business structure (Ltd, Partnership, Sole Trader)
• Deciding on how to remunerate directors and shareholders
• Timing purchases and investments to maximize tax reliefs
• Planning for succession and inheritance

Key Tax Planning Areas to Focus On

1. Business Structure

The right business structure affects everything from your tax rate to your reporting obligations. We can advise whether staying as a sole trader or forming a limited company will be more tax-efficient based on your profits and goals.

2. Salary vs. Dividends

For company directors, drawing a mix of salary and dividends can help reduce NICs (National Insurance Contributions) and overall tax liabilities. Our advisors can calculate the most efficient balance for your situation.

3. Capital Allowances

Claiming capital allowances for equipment, vehicles, or property improvements can significantly reduce your taxable profit. Timing these purchases effectively within your financial year is key.

4. R&D Tax Relief

Many small businesses overlook R&D tax relief, assuming it applies only to tech giants. In reality, even modest process improvements or product developments may qualify.

5. Family Involvement

Employing family members in your business (within reasonable terms and responsibilities) can help distribute income and reduce the overall tax burden. This must be done with care to ensure HMRC compliance.

6. Pension Contributions

Making pension contributions through your company is a tax-efficient way to plan for retirement while reducing corporation tax liabilities.

Avoiding Common Pitfalls

• Missing tax deadlines leading to penalties
• Poor recordkeeping affecting deductible expenses
• Overlooking VAT registration thresholds
• Neglecting succession or inheritance planning

These issues can cost you more than just money—they can disrupt your business’s future. Our role is to make sure that never happens.

Tailored Solutions for Your Business

At Harvin Tax Accountants, we don’t offer one-size-fits-all solutions. We take time to understand your business, your family involvement, and your ambitions. Our tax planning services are designed to be proactive, so you’re not just reacting to tax bills—you’re strategically managing them.