On Wednesday 22nd May, WMT Corporate Tax Director, Victoria Nicoll hosted an interactive session on ‘how best to extract profit from your business’. This included a round-table discussion on how to apply some general principles to different scenarios, businesses, and shareholder groups.
During the session, we looked at the age-old question of ‘salary vs dividend’ from multiple perspectives – taxation (of course!) as well as the commercial, financial, personal, and longer-term consequences of choosing the ‘correct’ combination of the two forms of income.
This led to an interesting discussion on the (often under-used) company pension contributions to personal pension plans as well as how the use Tronc schemes can factor in your profit extraction approach. We talked about benefits in kind, loans (both ways), expenses and use of personal assets amongst other things.
These informal sessions are a great way to learn about the practical and technical issues you and your business may face, with the additional benefit of learning from real-life examples. They are also a great opportunity to ask questions about how you can apply general principles to your particular situation or business.
For advice on extracting profit from your hospitality business, contact WMT’s Victoria Nicoll by calling 01727 808204 or by emailing firstname.lastname@example.org.