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Asset Preservation

Asset Preservation

Bespoke Tax Advice to Managing Directors, Owners and high net worth individuals.

On this website, we offer free advice to business owners of key tax issues and opportunities that they should be aware of in order to protect their assets and preserve their private wealth.

Our services are provided through professional advisors:

  • Company and Individual Profit Extraction
  • Cash Extraction
  • Pension Solution
  • Inheritance Tax
  • Capital Gains
  • Self Employed Planning

Call us today on 0118 4027 091

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The Normalisation of the Abhorrent

“The genius of our ruling class is that it has kept a majority of the people from ever questioning the inequity of a system where most people drudge along paying heavy taxes for which they get nothing in return.”
Gore Vidal

As Kevin Maxwell said, “Telling Lies is not Dishonest”

In an interview, the Prime Minister said the government has a moral duty to think of taxpayers in any decisions made on tax and spending . But what is morally wrong is government spending money as if it grows on trees. Every single pound of public money started as private earning.”

Really?

  •       VAT increased to 20% during this Parliament
  •     509 tax increases since 2010
  •      Public spending up 5% in 2014 v 2013
  •        Government debt doubled to £1.5T since 2010

It is taxation that creates the corruption of elected representatives and results in the strongest influencing power, regardless of politics

Thrasymachus [450 BC] defined justice as the will of the stronger and thus all governments are the same.

Extreme views on the left or the right end up meeting in the same back parking lot where they agree the people are the great unwashed and are too stupid to see they need to be manipulated and controlled. They are like the street magicians who keep moving the shells around in circles to ensure the player picks the wrong one every time.

Whatever the politicians declare to be illegal only renders that target tax-freeand a more viable business.

The point about taxes is rather simple. If government stopped taxing people then political lobbying would stop. If we ended career politicians and returned to citizen democracy, things would become fairer for everyone.

They’re Coming for the Pensioners

In a bid to reduce deficits, governments are increasingly looking at nationalising, appropriating or defaulting on private sector pension funds or on their future obligations. Consider:-

  • Argentina nationalises pensions. In 2008, private sector pensions to the value of $29B were taken over by the state in outright confiscation in order to maintain spending
  • Hungary. In 2010, £14B of private sector pensions were appropriated by the state in order to cut the budget deficit and avoid spending cuts
  • Ireland: Since 2010, the state government has imposed a jobs levy on private sector pension funds; currently 0.15%
  • Poland: The government appropriated $37B of government bonds held in private pensions and then promptly cancelled them in order to pay off sovereign debt
  • Detroit: Following the City’s bankruptcy in 2013, $9B of unfunded City pension obligations were cancelled.
  • Japan: – Government debt is now the highest in the world @ 230% of GDP; much of it financed by bonds purchased by Japanese pension funds. How will the government make good on these bonds? Most likely by inflation or default.
  • UK: – For the past 8 years, there have been continued reductions in allowable tax efficient pension contributions and lifetime allowances [wef Apr14, £1¼M lifetime limit and £40K contributions pa].

You do not have to be subject to these arbitrary restrictions and caps and you can plan for a wealthier retirement. Contact us for further information.

Information and knowledge are two different things

Mark Twain once said, “It ain’t what you don’t know that gets you into trouble. It’s what you know for sure that just ain’t so.” And we totally agree with that. When it comes to mitigating tax, you need to understand the importance of knowing what you don’t know.

People who are smart often overestimate what they know, and this tendency can grow, particularly if they are financially successful. This may lead to missed opportunities to save tax because they believe they know better.

Or as Henry Kaufman, the noted economist pointed out, “There are two kinds of people who lose a lot of money; those who know nothing and those who know everything.”

The Government’s Corporation Tax Con

George Osborne was full of tough talk on multinational tax avoidance in the Autumn Statement. “We want the most competitive corporate tax system of any major economy.” What Mr Osborne means is that he wants businesses to pay less in corporate taxes in the UK than in any other major economy. And he’s delivering on that.

He is trying to attract multinationals to Britain through tax breaks and lower headline rates. Tax competition puts downward pressure on corporate profit levies around the world by forcing other nations to match the lowest outliers. If the Chancellor were serious about global co-operation to curb tax avoidance, he would be pushing for global harmonisation on corporate tax rates & not trying to poach multinationals through lower rates. In effect, the UK is turning into a giant tax haven. [Independent 6th Jan. 2013]

Protect your wealth now!

By a 526 to 86 vote, the EU have passed a regulation that will require an EU country to accept a bailout, if offered. With the Cyprus bailout, a condition was that savers pay a tax on deposits. Who is next? Spain? Ireland? Greece? Let’s be quite clear; the European Union has confiscated the private property of the citizens in Cyprus without debate, legislation or Parliamentary agreement. Pay attention please. The EU, the ECB and the IMF have just advocated the confiscation of private property for their own indulgence.

Will capital controls be introduced by national governments? Bear in mind that the original  proposal for Cyprus was a 40% “haircut” compared to the 6.75% – 9.9% implemented.

Savers and asset owners, more than ever, need to protect their assets NOW.

Borrowing in 2014/15 will be £64B higher than forecast

Borrowing up now and in the future – The Institute of Fiscal Studies (IFS)

Over this parliament the Chancellor is planning to borrow much more than he originally intended. He will be borrowing £64B more in 2014–15 than he forecast just two years ago.

The Government is now pursuing a looser policy than that permitted by the last government’s Fiscal Responsibility Act. Had that legislation not been repealed, the Chancellor would have been obliged to cut spending or increase taxes by around an additional £8B next year.

Britain to feel the pain when the QE bubble finally bursts

Thanks to QE, the Chancellor is raising more than £100B a year without having to ask Parliament to hike taxes and without having to convince investors to part with money, while unfairly taking the credit for avoiding national bankruptcy.

QE is one branch of the state (the Treasury), borrowing money from another branch of the state (the Bank of England) and everybody in the City is cheering madly, despite the dangerous circularity of the exercise. To many, this will sound like accounting fraud, but this is quantitative easing, the perfectly legitimate wonder drug that was meant to cure the economy but to which George Osborne is now hopelessly addicted.

The figures make astonishing reading. Since Aug. 1st, the Debt Management Office, which is tasked with raising cash for the Treasury, has sold £34B of new IOUs. During the same time, the Bank of England bought £32B of them. The difference is the net amount the market had to absorb. There is actually a scarcity of some kinds of gilts. Interest rates on government debt are no longer a meaningful representation of what private lenders are demanding to extend cash to the British state. There is a false market in government bonds.

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