The Tax System for Partnerships

By on May 9, 2016 in Blog, Business | 0 comments

Business partnerships hold their own special place in the UK tax system, however many people entering into partnerships don’t realise this – often much to their detriment later down the line. Even the smallest of partnerships need to register with HMRC, and will find that doing so changes a few aspects of the tax the individual members pay. Luckily for those entering into a partnership though, the process of informing HMRC is a pretty simple one, as they simply need to full out form SA400. Those who prefer to do things by talking to a member of the HMRC customer service team can call them and pass over all of the relevant details instead. What Taxes Are Paid? This is perhaps the most important question asked by someone entering into a business partnership. Essentially though, the taxable income of a partnership is worked out in the same was as a sole trader’s. This therefore means that...

The Tax System for Companies

By on May 2, 2016 in Blog, Business | 0 comments

 Corporation Tax is possibly the most important thing any company has to consider, as each year it takes a large proportion of profits, and unprepared businesses are often left reeling when they receive their tax bill. This is why understanding how Corporation Tax works, and then preparing for it, is vital if a company is to succeed. Of course, to really ensure that a company’s tax is done correctly, it is usually prudent to hire an accountant, as they will now the exact way to submit tax returns – and might also be able to knock a significant amount off the bill. What Taxes Are Paid? Corporation Tax can be self-assessed, and those filing a return will need to do so using the CT600 form. This form provides the basic details needed for a tax return, however it is not the only thing that needs to be submitted, as a company also needs to supply computations and accounts to support their...

What Is Crowdfunding, and How Does It Work?

By on Mar 16, 2016 in Blog, Business | 0 comments

Businesses once had to go to venture capitalists, banks and angel investors to try and secure money for their projects. The process was lengthy, cutthroat and often ended with months or years wasted that could have gone into the development of the product or service that the company wanted to offer. Crowdfunding is an alternative to raise money through the masses. The goal is to pitch your offer to a site, and users will fund your project. We’ve seen this become a very popular option for drone companies that couldn’t get the funding that they needed through traditional means. How Crowdfunding Works The first step in the process is to choose a platform that you’ll fund your project through. There are several crowdfunding sites available, but the biggest sites are: GoFundMe IndieGogo Kickstarter Look through these sites, as well as many others, and decide on the site where you think your...

A Complete Guide to Taxes for a Self-Employed Business Owner

By on Mar 8, 2016 in Blog, Business, personal | 0 comments

Self-employment comes with a myriad of benefits, but before you take this major life step, it’s important to understand the tax implications of working for yourself. One of the primary differences between working as an employee and being self-employed is that you will be required to pay a larger tax bill at some point during the year, rather than having your employer deduct tax from your pay. For some, this tax bill comes as a surprise, but if you know what to expect, you can plan ahead and be ready to pay when the bill comes due. Registering with HMRC If you are not a part of a business partnership or limited company, you are considered a sole trader and will be required to follow the tax rules for self-employed individuals. Within three months of working for yourself, you must register with HMRC as self-employed. Failing to register before this deadline may result in a penalty....