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‘The Art of Saving Tax’ 
By 
Paul Woodcock BA (Hons); FCA 
www.pjwaccounting.co.uk
Who am I? 
• Chartered accountant 
• Amateur photographer 
• Insanity devotee 
• Amateur Gardener 
www.pjwaccounting.co.uk
What makes a great night for me? 
www.pjwaccounting.co.uk
Corporation Tax 
• Profits of £30,000 
• Total tax due = £6,532 
• Incorporate – total tax due £4,944 
• Tax saved = £1,588 
www.pjwaccounting.co.uk
But what about everything else? 
• Using the family to save tax 
• Wife’s wages – tax saved £2,000 
• Can you employ the children? 
• Split the share capital – tax saved £2,500 
• Use of home as office – Licence Agreement 
tax saved - £400 
• Use old van with FPCS – tax saved £300 
www.pjwaccounting.co.uk
VAT 
• Not currently VAT registered 
• Inputs of £2,350 not being claimed 
• Set up a VAT registration – tax saved £2,350 
• Bonus – he looks like a bigger business 
• Double Bonus – application for FRS saved £3,250 
www.pjwaccounting.co.uk
Capital Gains Tax 
• Couple own a rental property 
• Previous accountants never asked about CGT 
• But CGT rules due to change 
• And property only in husband’s name 
• Tax due if selling after 5 April - £10,250 
• As a result of our meeting property sold 
before April and couple saved £10,250 
www.pjwaccounting.co.uk
Inheritance Tax 
• Total estate worth over £700,000 
• But no will in place 
• Husband owned everything 
• No additional tax due but part of estate was at 
risk of being placed in trust leaving wife short of 
funds 
www.pjwaccounting.co.uk
Total savings from evening 
Incorporation 
1,588 
Wife’s wages 
2,000 
Split shares 
2,500 
Use of home as office 
400 
FPCS 
300 
VAT registration 
2,350 
FRS 
3,250 
CGT 
10,250 
Total 
22,638 
www.pjwaccounting.co.uk
www.pjwaccounting.co.uk
Who would I like to connect with? 
• Saving are applicable to all businesses 
• But accountants not good at saving CGT 
• Estate Agents 
• Surveryors 
• Architects 
www.pjwaccounting.co.uk
‘Thank you for listening’ 
www.pjwaccounting.co.uk

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The Art Of Saving Tax For Startups By PJW Accounting

  • 1. ‘The Art of Saving Tax’ By Paul Woodcock BA (Hons); FCA www.pjwaccounting.co.uk
  • 2. Who am I? • Chartered accountant • Amateur photographer • Insanity devotee • Amateur Gardener www.pjwaccounting.co.uk
  • 3. What makes a great night for me? www.pjwaccounting.co.uk
  • 4. Corporation Tax • Profits of £30,000 • Total tax due = £6,532 • Incorporate – total tax due £4,944 • Tax saved = £1,588 www.pjwaccounting.co.uk
  • 5. But what about everything else? • Using the family to save tax • Wife’s wages – tax saved £2,000 • Can you employ the children? • Split the share capital – tax saved £2,500 • Use of home as office – Licence Agreement tax saved - £400 • Use old van with FPCS – tax saved £300 www.pjwaccounting.co.uk
  • 6. VAT • Not currently VAT registered • Inputs of £2,350 not being claimed • Set up a VAT registration – tax saved £2,350 • Bonus – he looks like a bigger business • Double Bonus – application for FRS saved £3,250 www.pjwaccounting.co.uk
  • 7. Capital Gains Tax • Couple own a rental property • Previous accountants never asked about CGT • But CGT rules due to change • And property only in husband’s name • Tax due if selling after 5 April - £10,250 • As a result of our meeting property sold before April and couple saved £10,250 www.pjwaccounting.co.uk
  • 8. Inheritance Tax • Total estate worth over £700,000 • But no will in place • Husband owned everything • No additional tax due but part of estate was at risk of being placed in trust leaving wife short of funds www.pjwaccounting.co.uk
  • 9. Total savings from evening Incorporation 1,588 Wife’s wages 2,000 Split shares 2,500 Use of home as office 400 FPCS 300 VAT registration 2,350 FRS 3,250 CGT 10,250 Total 22,638 www.pjwaccounting.co.uk
  • 11. Who would I like to connect with? • Saving are applicable to all businesses • But accountants not good at saving CGT • Estate Agents • Surveryors • Architects www.pjwaccounting.co.uk
  • 12. ‘Thank you for listening’ www.pjwaccounting.co.uk