Bookkeeping is the daily recording of financial transactions and information relevant to a business. It ensures that individual financial transaction records are correct and up-to-date. Being as accurate as possible is vital to the process. Bookkeeping for small businesses can be a difficult task and as your business grows, staying on top of your finances …
As a freelancer, you can claim tax relief on some of your business expenses. However, this must be done within 4 years of the end of the tax year related to these expenses. Here is a quick guide on what you can claim tax relief on each year. Eligibility In order to claim tax relief: …
A P11D form is a document used by a business to inform HMRC about the employee benefits provided to employees. For example, any extras such as corporate cars or private health insurance. You can report these to HMRC on your yearly Self Assessment return using the annual P11D form. You might not receive a P11D …
The IR35 is the tax legislation that aims to find people who are not paying their taxes. The IR35 legislation targets those individuals who provide their services to clients through their own company, also known as a personal service company. This means that HMRC does not consider the contractor in question to be self-employed from …
IR35 is HMRC’s term for off-payroll work. It is sometimes known as the “intermediaries legislation” as it applies to people that work via an intermediary rather than directly under an employer. This intermediary is usually the individual’s own limited business, especially for the self-employed. It can also be a partnership, another personal service company, or …
What is the Intermediaries Legislation? Full guide Read More »
Final accounts are prepared at the end of an accounting cycle. They illustrate a company’s financial situation as well as its profitability. The trading account, profit and loss account, and balance sheet are all types of final accounts. A trial balance serves as the foundation for final accounts. All ledger account balances are included in …
The 2022/23 tax year starts on April 6th 2022. This blog contains everything you need to know to start the new tax year right. 2022/23 tax rates Here are the tax rates you need to know as a sole trader in England, Northern Ireland and Wales: Personal Allowance: £242 per week, £1048 per month, £12,570 …
Accounting isn’t always easy and taxes can be quite stressful for most people. Luckily, there are various budgeting strategies and ways to prepare ahead of the self-assessment deadline. Let’s look at how to prepare for paying taxes as a freelancer. Tax liability as a freelancer Tax is only taken from your profits, not your whole …
Paying Taxes as a Freelancer: How to Plan Ahead of Taxes Read More »
