I love working with innovative, high growth companies. Forever energetic, full of ideas, and generally involving a lot of seriously bright and creative people.
A feature of these companies is that they need access to funding to develop new technology, diversify, and to enter new markets. Funding can come through a variety of routes including grants and R&D tax credits, shareholders, family and friends, venture capital and private equity.
Whilst our tax system helps with some of this, when funding comes through debt there are complexities and this is about to become even more challenging. Any business with debt funding should now be assessing the impact of the April changes, and determining whether they can, and should, do anything to improve their position.
Plans to introduce tough new rules to curb interest deductibility are taking shape as HMRC publishes draft legislation on the new regime for restricting the amount of interest and other financing amounts that a company can deduct when calculating profits for corporation tax purposes, effective April