{"id":126,"date":"2020-06-26T13:50:12","date_gmt":"2020-06-26T13:50:12","guid":{"rendered":"https:\/\/www.accountly.co.uk\/?p=126"},"modified":"2020-07-07T15:33:56","modified_gmt":"2020-07-07T15:33:56","slug":"business-tax","status":"publish","type":"post","link":"https:\/\/www.accountly.co.uk\/business-tax","title":{"rendered":"Business Tax – A Beginner’s Guide"},"content":{"rendered":"
All businesses which operate in the UK must pay taxes. There are various forms to pay, and some depend on the structure of your business.<\/p>\n
Limited companies and sole traders are both taxed differently. The most important thing to remember is that with the former, the personal finances of those involved are treated separately to the financial obligations of the business. With the latter, the sole trader (or partnership members) are taxed as one single entity.<\/p>\n
All taxes are paid to HM Revenue and Customs (HMRC). If you are a startup<\/a>, once you have decided on the structure, it is essential to be aware of the charges you are now obliged to pay. Whichever you take, records must be kept of all accounts.<\/p>\n It goes without saying that there are numerous benefits to working with an accountant<\/a> \u2013 whether it\u2019s simply to prepare your company accounts, or provide business help and advice on an ongoing basis.<\/p>\n As the owner of a limited company, you are responsible for registering to pay tax on your company income and any other financial obligations, as well as completing your personal self assessment tax returns.<\/p>\n Charged on the annual profits of the business (income minus allowable expenses). It is a flat rate, currently 19%, so not dependent on your profit bracket, and there are no allowances.<\/p>\n A CT600 form which includes company details, your tax reference number, the tax calculation and any allowances must be completed and filed with HMRC online.<\/p>\nLimited Companies<\/h2>\n
Corporation Tax<\/h3>\n
VAT<\/h3>\n