With the Self Assessment deadline less than a month away, a lifeline has been handed to struggling businesses and sole traders who are yet to complete their tax returns.
Tax preparation specialist David Redfern, Managing Director of DSR Tax Claims Ltd, has issued his timely advice on claiming tax reliefs for loss making ventures, especially those businesses in their first years of trading.
It is not uncommon for a newly-formed business to run at a loss in its initial years of trading, due to the cost associated with breaking into a market as well as finding and retaining a steady stream of customers, including start-up costs such as advertising and publicity, premises and the initial administrative costs of setting up a business.
However, many small business owners and sole traders may be unaware of the available open to them to allow them to offset their losses against past or future profits, including capital gains. Redfern commented “In a tough trading environment, it is imperative that a fledgling business uses all tax relief options open to them in order to maximise their profitability and commercial advantage.
Larger businesses and corporations are well-equipped with accounting advisors who will inform