Although we will all pay taxes at some point, assuming a reasonable income from our ventures, what is not certain is how much that tax will be. There are rules about the way taxes are calculated knowing what is and what is not allowed is half the battle.
If you are not up to date with the ins and outs of tax legislation you are just as likely to pay too much tax as too little. We are not specialist tax accountants promoting tax avoidance schemes. We are general all-round accountants with in depth knowledge of the problems facing small businesses.
We can help you structure your business to make the most of your tax allowances and allowable expenses without any involved accounting, which may or may not get round the Revenue’s ant-avoidance legislation. Knowing exactly how much your tax liability is in plenty of time to budget for the payment is an advantage.
Although there is never any convenient time to pay your tax, being prepared can ease the burden. We like to think we are the tax accountants for small businesses and individuals. So if you need a down to earth accountant who can help you with completing your own self-assessment tax return, a partnership return, a trust return or a Company tax return then let us be your tax accountant.
As Benjamin Franklin said in 1789, 'Of two things you can be certain; death and taxes,' others have expounded on the theme, "Death, taxes and childbirth! There's never any convenient time for any of them." From the book Gone with the wind in 1936.
Difficulty in paying your tax?
Are you having difficulty in paying your tax? In the current economic climate cash flow is a critical factor in business survival.
Depending on your accounting year end you could have a tax liability based on your trading period that is over a year old, a period when you profitability was higher than at present.
If you have trouble meeting your tax liabilities contact HM Revenue and customs immediately. They have a business payment support service and will accept reasonable payment proposals. Once you have a payment plan in place then interest will still be charged, but late payment penalties will not. Call on 0845 302 1435 or got to HMRC guidance for more information.
Tax credits can be a very useful addition to income.
The two types of tax credit are Child Tax Credit and working tax credit. You do not have to be parents or couples to claim tax credits, you may be surprised to learn that single people with no children may be eligible for these extra payments.
The amount of any tax credit award is calculated on the previous year’s income, once the current years income is known any changes to the award are made. This could result in claimants having to pay back tax credits. To minimise this, the last Government ruled that any changes in income below £25,000 would not affect the award. From April 2011 this amount is reduced to £10,000 and from April 2013 it reduces again to £5,000.