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So what is the main difference between tax avoidance and tax evasion? Let’s put it simple – Tax avoidance is legal and tax evasion is not.A lot of people already do tax avoidance by having an Individual Savings Account (ISA), or paying some earnings into their Pension pots (like SIPP), which is a legal way to reduce you income tax. Businesses and sole traders can decrease their tax bill by claiming business related expenses, which is perfectly legal and the right way to do business.

As the self-assessment tax return deadline looms within the next 100 days, a concerning revelation emerges: 75% of self-employed individuals lack clarity on the point at which higher rate tax obligations kick in. We need to remind our clients about the importance of gaining control over finances, including tax payment and budgeting, which can alleviate the strain associated with self-employment and make the process of preparing for the January 31 deadline less burdensome.

As a self-employed Contractor working through a Personal Service Company (PSC) there are a few things to keep in mind when you put a Contract in place for the services you provide. If not done properly, your company could potentially be considered as trying to avoid paying correct tax and national insurance on your income. The best thing you can do for your work situation is to make sure that the contract you put in place doesn't make you look like a false self-employed contractor. To do this, get the help of an expert, who can ensure your contract follows the HMRC guidelines for what constitutes a genuine self-employed contractor. And here at Accounting Minds we can clarify all those important points for you and help you determine your correct status in relation to IR35.

For many years trusts have been considered the standard way to pass family wealth on to future generations. The last few years however have seen tax changes which mean that Family Investment Companies (FICs) may be the more tax-efficient option…