As a business owner, the range of tax payments and information required of you each year can make the tax landscape feel intimidating, with the introduction of new systems like Making Tax Digital in 2019, or a lack of time to ensure money is set aside, to keep track of your tax deadlines, or to fully educate yourself on the information required of you as a business owner by the HMRC.
However, it doesn’t have to be!
The CDC Accounting team offer a range of support and accountant In Wales in wales – from recommendations and training with software that can help you to streamline your finances and information, and aid in areas of your business that could benefit from our input, as part of our tiered packages – such as tax.
Our monthly packages include assistance with your tax responsibilities, such as the provision of tax estimates so you can keep money aside to ensure no unpleasant surprises, and bespoke support with your Tax Returns and Assessments, preparing these for you in plenty of time, so you can keep track of your finances, and feel assured knowing your responsibilities – from completing your employee’s PAYE to meeting your tax deadlines – are dealt with.
Common Types of Business Tax
Corporation Tax is the tax on your trading profits, investments and chargeable gains. As bills are not provided for this tax, there are certain steps required of you to calculate, pay and report this tax.
These include the payment of this tax (or the declaration of having nothing to pay) by your deadline – which is 9 months and 1 day after the end of your accounting period, and filing your Company Tax Return by your deadline – 12 months after the end of your accounting period, and often the same 12 months as the fiscal year covered by your accounts.
Pay As You Earn (PAYE) is the system for determining how much tax you need to deduct from your employee’s pay, based on the tax code calculated and assigned to the employee by the HMRC. This deduction is based on their earnings throughout the tax year – from 6th April, to 5th April the following year.
If paid monthly, PAYE is due at the HMRC on the 22nd of each month, and the 22nd of the month at the end of the quarter if paid quarterly, e.g. 22nd July for the 6th April to 5th July quarter.
Self Assessment is the system used by the HMRC to calculate what you owe for the previous tax year, and collect Income Tax based on what you report to them in your tax returns.
This must be filled in after the end of the tax year (5th April) it applies to, and is due to the HMRC by 31st January – with a second payment by 31st July if you make advanced payments on account.
Value Added Tax (VAT) is a general tax applied to commercial services, depending on whether your VAT-registered company’s annual turnover surpasses the necessary profit thresholds through the provision of these services, or not. The amount of VAT charged by your business and the amount you need to pay must be reported to the HMRC in your VAT Return.
For more information about accountant In Wales and how CDC Accounting can support you with your tax responsibilities, or to find out more about the services we offer here at CDC Accounting, view our website, call us on 01490 372012, or email us at: firstname.lastname@example.org.