How to cut your tax bills: The Annual Investment Allowance initiative

In the first in a new series of monthly articles from The Robert James Partnership providing jargon free information on how to reduce your business tax bills, Paul Webb guides entrepreneurs through the government's new Annual Investment Allowance initiative.

With the effective rate of tax for smaller businesses going up each year in real terms, it is important that business owners plan ahead to keep tax liabilities to a minimum. There is a lot more to tax than basic compliance activities like annual returns and business owners can benefit greatly from a more strategic, planned approach. Big businesses have a series of advisors to help them decide upon the most tax efficient strategies and there’s no reason why, armed with the right information, smaller businesses can't be equally savvy. A wide range of opportunities exist – but as with everything, knowledge is key.