Five tips to cut your lifetime tax bill

 

If you consider the amount of tax you or your clients have paid over their lives in various forms to date, you may look back and find areas where you could have saved money. 

Chris Mattos, tax partner at Randall and Payne, set out five small changes to make to reduce clients' lifetime tax bills in his presentation at the UK200Group conference in Newcastle last month. 

Using an example of "Bob", a fictional client with a tax bill of £1m over a lifetime, Mattos broke down the client's bill into categories such as income tax, NI, council tax, SDLT and VAT. 

However, he argued, by employing these five changes, Bob could have cut £250,000 off his bill. 

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  • IR35: Latest guidance from HMRC
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  • Mitigation of BPR 
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Comments
nogammonsinanundoubledgame's picture

"Mattos argued that by Bob    3 thanks

nogammonsinanun... | | Permalink

"Mattos argued that by Bob making changes to his lifestyle, such as giving up smoking and alcohol even at the age of 42, he could have saved £26,085 on his tax bill in terms of various taxes."

But Freewheeling Franklin Freakoutski says

"Dope will get you through times of no money better than money will get you through times of no dope".

With kind regards

Clint Westwood

 

Imagine Bob's shock

justsotax | | Permalink

when he found out the annuity rate he would have attained by keeping smoking/drinking (and probably eating to increase his wasteline) would have doubled the annuity he could have attained.

 

Although I am amused by the fairly unique circumstances leading to the appropriate tax planning.....5 tips you couldn't  accuse a normal taxpayer of being able to take advantage off (well i suppose the last one....but then as i said even that comes with a downside). 

B Adder's picture

What an eye-opener    1 thanks

B Adder | | Permalink

Can't wait to advise my client's of the brilliant new tax-saving wheeze of giving up alcohol !
Why didn't I think of this before.............

paulgrca.net's picture

Gee whizz

paulgrca.net | | Permalink

The guys a genius - incorporation! Use of spouses allowances! Nobody ever thought of that before.

B Adder's picture

and there's even more tax-savings

B Adder | | Permalink

I emailed all my clients re going on the wagon to save tax and

badda bing badda bong

i get to save even more tax -

my profits hit the floor due to a drastic reduction in my client list !!

flaw in plan I will have more drinking time ....

hmmmmm