As the end of the current financial tax year is fast approaching, it’s a good idea to think about whether you have fully maximised the amount you can withdraw from the company, tax-free and at the basic rate of dividend tax.
Your first year as the owner of a limited company can seem like a whirlwind of accountancy-related deadlines. There are dates to remember for filing your year-end accounts, your self-assessment tax return, your VAT returns…and a host of different dates for making payment of your various taxes. Here is how you stay on top of everything.
With the deadline for submitting your Self-Assessment Tax Return just around the corner, it’s a good idea to start getting your finances in order so that you don’t have a last-minute panic.
When you set up and run a limited company using our online bookkeeping service, it’s important to understand how Corporation Tax works. Corporation Tax is based on the profits your company makes; so you must ensure you set aside enough of your company’s income to pay the tax by or before the deadline. Late or inaccurate payment could mean you face fines and penalties from HMRC.
English TV presenter and journalist Helen Fospero, has become the ninth broadcaster to claim victory over HMRC at the first tier tribunal.
How and when do you need to pay Corporation Tax?
What would be the most tax-efficient VAT path for your company?
Here’s our new guide for business taxes in 2019/20.
Operating through a limited company structure is usually the best way, for a self-employed individual, contractor or entrepreneur to legitimately and compliantly maximise your tax efficiency. This is because you can take remuneration through an efficient mix of salary and dividends and claim a wide range of legitimate business expenses.
Here are some top tips that could help you save tax either through your company or personally through your self-assessment
If your personal tax bill for the year ended 5th April 2019 exceeded £1,000, you will likely be required to make a payment on account of the year ended 5th April 2020. This would have been made up of half your tax bill upfront in January 2020, and another half in July 2020. This means that by the 31st July 2020, you should be paid HMRC the equivalent tax for the year ended 5th April 2020, as you did for the year ended 5th April 2019.