SMEs pay almost £10 billion in tax compliance costs each year, according to research by the Association of Accounting Technicians (AAT).
In a recent survey of 500 businesses , the AAT revealed that the average SME spends £4,376 complying with business taxes each year. Collectively, the SME sector spends £9.9 billion annually on tax compliance.
- SMEs spend up to 2 hours each week on tax issues
- 70% of SMEs say they spend too much time focusing on tax.
Small business owners say they would rather invest the money spent on tax compliance back into their businesses:
- 33% would spend more on sales & marketing
- 10% would use it to recruit staff
- 10% would increase their R&D budget
The Chief Executive of the AAT commented: “SMEs are the backbone of British Business but some are being weakened by a hidden £10bn tax burden. It’s a strong indicator of just how hard dealing with tax can be when 80% of our members state that the UK tax system is too complicated”
Focus on your business
By using a qualified, professional firm of accountants you can focus on your business and take away the headaches and worry of dealing with the tax authorities. What’s more you can also be confident that you are claiming all allowances and reliefs permitted under legislation which in many cases results in tax savings that more than cover fees due.
Contact us today on 0845 177 5500 or using our on-line contact form to see how we can save you time, reduce stress, and help you focus on what’s really important in your business.