I’m not sure how joyful I found reading The Joy of Tax, especially as I started it over three years ago. Finally, though, I have now finished it and will give my opinions on it below. Continue reading “The Joy of Tax by Richard Murphy”
These 15 simple steps to create a filing system for your accounts paperwork are aimed at self employed sole traders. You need to keep paperwork for at least 10 years in case you ever get an enquiry from HMRC. Being organised can help your accountant turnover the work faster and also resolve HMRC enquires faster, if you were ever in that situation. Continue reading “15 simple steps to create a filing system for your accounts paperwork”
Recently I was asked if they could do a tax return if they didn’t have any sales and just put expenses through. My initial thought was why go through the whole hassle of doing a tax return and the stress of meeting the self-assessment deadline if you don’t have to? With a new business, you can go back up to 7 years to claim your expenses and if you earn less than £1000, you can receive trading allowance before you even need to declare your income.
Technically though you could claim just expenses. There are some restrictions in that you would need to prove to HMRC your business is genuine. You need to do at least 10 hours a week with a view to making a profit. Continue reading “Claiming just expenses on your tax return”
VAT was originally introduced as a simple tax on purchases of goods and services in 1973. It was originally called the purchase tax but changed its name to VAT when the UK joined the EEC. VAT is now anything but simple. It is an indirect tax charged on the purchase of goods and services. Most goods and services in the UK are charged at the standard rate of VAT which is currently set at 20%. Continue reading “VAT rates in the UK”
Last Thursday I attended the women in tax meeting at the RSM offices in Leicester. I wasn’t sure what to expect. Would it be formal? Would I have to talk about anything? I’m I intelligent enough to talk about anything tax related? It has been a while since I felt proficient in tax. The most I do now are personal tax returns. And I do generally leave it till the end of the year to really worry and think about them. Continue reading “Women in Tax – Leicester”
In its most simplest definition, if you have a limited company, you would need to pay tax on your profits. This is called Corporation Tax. You would also need to pay corporation tax if you are an association, a club or co-operative. If you are a sole trader or a partnership, your profit is not subject to corporation tax and any tax you have to pay will be through your self-assessment. Continue reading “What is Corporation Tax?”
Every year when the budget comes out you hear about taxes going up, the economy growing and unemployment going down. If you’re in employed work and receiving a monthly salary you might not really understand or care how the budget affects you. However, the salary you receive in your bank account is what you get after your employer has taken the PAYE. Your PAYE is made up of your national insurance contributions and income tax. Continue reading “The budget and the PAYE”