Sole traders and partnerships
Whatever you need doing, we are here to help make life a bit easier.
Whether you are just looking for a bit of help getting the tax returns done or a full bookkeeping and advisory service then we have a solution for you.
You are a new business – Should you be a sole trader or partnership?
As a sole trader or partnership you pay tax on the profits you make and are pretty much free to utilise the funds in whichever way suits you and your business best.
Often with a fledgling business it is easier to set up and get going in this way as it carries the lowest overhead and the accounting tends to be easier also.
I would say that it is generally easier to migrate a business into a corporate than it is to take it out of one. Starting in the right place is vital.
Prominent dates in your working life will be 5th April for the tax year end as well as 31st January and 31st July for your tax payments and we can steer you through these as the year progresses.
The first tax bill usually has a big sting in the tail as you will probably pay 150% of what you owe in the January after your first accounting period ends. This settles your unpaid tax and starts the ball rolling with payments on account. The GOV site explains this in more detail.
However, if you would prefer to have a more human explanation of how this would affect you, please contact us using this link: