ASE's unique understanding of the tax affairs of a dealership means that corporate tax risks are identified early and are proactively addressed, resulting in an exceptionally low occurrence of HMRC enquiries. We have an equally enviable track record of concluding enquiries where they are opened, quickly and with minimal expense to the taxpayer. In most cases HMRC enquires are covered by ASE's fee protection insurance.
With a corporation tax compliance process twinned with the audit process, ASE clients understand their corporation tax charge early in their accounting period, opening up more tax minimisation opportunities.
ASE's knowledge of the dealer lifecycle has provided us with unrivalled experience in dealer corporate restructuring, acquisitions and disposals. Regular communication throughout the year ensures early planning to achieve the best tax result, whether a property disposal, business sale or reorganisation.
If you're a manufacturer, ASE's motor-specific knowledge also comes into play - this might involve taking tax strategies to your dealers, or fully understanding the tax implications of the sales and purchases of businesses or restructuring your network.
A local Tax Inspector opened an enquiry into a four-site French-franchised dealer - the group was making a return on sales of around 2.5 - 3%(!). ASE explained that this hardly implied profits were understated, given the overall performance of the industry in the relevant period. The Inspector limited his enquiries to a sample of transactions going through Kerridge. By explaining the transaction paths in the DMS, ASE demonstrated that all the Inspector's initial concerns were unfounded and the enquiry was closed down with no adjustment and the minimum of management input required. ASE fees for the work were covered by the firm's fee protection insurance so there was no financial cost to the dealer.