We have been serving the agricultural sector for 100 years’ experience, priding ourselves on the depth of our agricultural knowledge, so whether you run a small family farm or a large estate, or are involved in fishing, shooting or the equine sector, we can provide the dedicated advice and support you need.
These are challenging times for farming, farm-based and rural businesses, yet there are opportunities for further success by selecting the right strategy, effective tax planning and diversification. Having acted for several generations of farmers, our unique experience and perspective makes us the perfect partner for you.
Our team understand the challenges and bring together the right mix of business advisory, accountancy and tax advice to help you succeed in achieving your goals. There has never been a more important time to take stock of your current position and ensure your business model is fit for ‘the future of farming’.
Effective tax planning
Just as with any business, every decision and transaction made by farming and rural businesses will have tax implications.
The dedicated tax advisors at Nicholsons have many years’ experience of working with a wide variety of businesses in the agricultural sector, and can advise on the most tax-effective route to take.
This includes making the most of the reliefs available to minimise your inheritance tax liabilities, as well as how to make the best use of capital allowances when diversifying your business and on the purchase of plant and machinery for the farm. We can advise on the purchase, sale and development of property and land, ensuring each transaction is carried out as tax-efficiently as possible.
When passing on the family farm to the next generation, you will want to make sure you pay as little inheritance tax as possible.
Agricultural Property Relief (APR) can help you pass on some or all of the property free of tax, either during your lifetime or in your will. While this can enable significant savings to be made, there are also conditions attached to the relief:
- The land in question must fall within the definition of agricultural property
- It needs to have been in the possession of the owner for two years if they farm it themselves, or seven years if the land is farmed by someone else
- The farmhouse attached to the land must be occupied for agricultural purposes and be in keeping with the holding
In particular, this final condition can result in significant issues as HM Revenue & Customs looks to increase its tax haul.
One solution is to transfer ownership of the farm to the next generation prior to death. In addition to the inheritance tax benefits, this can also result in the deferral of any gains made during the handover process.
We have specialists that have advised a significant number of farming businesses on succession planning ensuring they make the most of the reliefs available, so they can enjoy their retirement.
Wealth Management Team
Our in-house Wealth Management team are available to offer support and advice on all areas of your personal finances. We will sit down with you to understand your personal and family goals, we will gather your current financial and tax position which helps us to identify areas we think you should review and help you find appropriate solutions be that, pension, protection or investment. You can’t avoid tax, but we can make sure you are paying the right amount.
Working together with you we can provide advice and support on:
- Business restructuring
- Succession planning and wealth retention
- Specialist Trust and estate work
- Optimising incomes and profitability
- Property matters
- Tax Planning