In taxation, the family business can make very expensive mistakes.

We summarize here the Conference held on May 24 at the Federation of Companies of La Rioja. “Tax planning in the family business.”

Taught by the General Director of Arnaut Fiscal & Legal and Doctor in Economics, Basilio Ramirez Pascual, this addressed the situation of uncertainty that we are going through, in which family businesses must seek legal and tax security, through improvement in legitimate tax planning. .

On this occasion, the information on the different taxes and doctrines that affect the taxation of the family business was updated, in its different milestones, such as succession, sale, professionalization or simple ownership of the business. But our reflection for this day has revolved more around the elements affected or not affected by business activity.

Idle or affected treasury, real estate rental companies or participation in companies to reinvest profits. In summary, how to avoid the patrimonialization of family groups.

And the fact is that many family businesses, due to their size, cannot have an advanced tax department, as large family businesses have.

Arnaut Fiscal & Legal has been bringing high-level tax planning processes closer to companies that cannot take on this department for years. Complex issues such as tax consolidation, groups, international tax planning or successfully dealing with the sale of companies and the reinvestment of profits must be addressed with knowledge.

Due to the complexity of the system and without adequate help, it is a fact that the business family will make mistakes in their planning and mistakes are expensive.

Therefore, when we talk about structural planning or optimal tax structures in family businesses (EFO), we are not only thinking about taxes, but about an architecture that allows companies to be organized financially to face the different moments and vicissitudes that the family business will encounter. sure on your way. By working on the investment strategy and the appropriate vehicles to do so, we are investing in tools to better face a crisis, protecting the business effort against the numerous risks that the development of a business activity always entails.

As a firm we see the family business with a global approach, and always from the owners, trying to respond to all problems from that vision.

It is truly important for the family to work on these aspects when they are not yet urgent. The family business planning part has to be part of the family’s business culture. You cannot create a structure suddenly because you are going to face succession, the sale of a company or you are going to enter a crisis. We always advise starting the path as soon as possible and that will allow you to economically and financially optimize all aspects of tax and financial planning, as well as decision-making, over the years. Thus, if we have planted well and watered the tree, when the time or milestone of succession, sale, etc. arrives, the tree will bear fruit.

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