AIM as a provisional tax option
The Accounting Income Method (AIM) is the provisional tax option that makes paying tax easier for your clients.
Using accounting software, AIM accurately works out provisional tax payments throughout the year, aligning them with the profits your clients make. Meaning they only pay when they make a profit.
A number of tax agents have recommended AIM to their clients and have seen some great benefits. Including:
- They know exactly what they need to pay and there are no surprises at the end of the year
- They can pay as they go (as a result 98% of businesses using AIM pay on time, avoiding late penalties)
- Paying regularly is better for their cash-flow
- Regularly updating their records makes the end of the month more straight-forward
Setting up AIM
The simplicity of AIM (once set up), and the access to more real time information about your clients’ business will save you time on processes and allow you to focus and advise your clients on their business.
AIM takes roughly 30- 60 minutes to set up and you can easily do this on your clients’ behalf.