9 Ways to Make Christmas Tax Deductible

ways to cut your tax bill at christmas

It’s Christmas! Well, nearly – and that means festive gifts and the goodwill. If you’re smart, your generosity can be tax deductible, so we asked Jonathan Amponsah of The Tax Guys to explain how you can claim some Christmas tax reliefs, and reduce your tax bill whilst still keeping the taxman happy. (more…)

10 Tax-Saving Ideas for Small Business Owners

ways business owners can pay less tax

The area of tax for small businesses is not straightforward, in fact it can be a real minefield for the unwary. However, if you take a little time, and work with your accountant, it’s usually possible to find ways to save some tax.

To help you think about ways you and your business could pay less tax, we’ve asked Simon Cox of Forbes Watson Accountants to share 10 of the best ways small business owners can look to pay less tax. (more…)

Guide to National Insurance Contributions (NICs) for small business owners

Find out what NICs you need to pay if you're self employed or a limited compay director

National Insurance is a deduction from earnings, set up originally to fund various State benefits such as the NHS, the State pension and other welfare-related schemes.

In reality, it is just another tax. In fact, as standard income tax rates have remained constant for many years, NI rates have soared.

In this guide we look at how National Insurance works, and what your National Insurance Contributions (NICs) will be as a small business owner. (more…)

Could you cut your tax bill by claiming some of these business expenses?

pay less tax

Whether you’re a sole trader, a partnership or a limited company, you may be paying more tax than you need to, and you won’t be alone.

Many business owners don‘t realise that the expenses they can claim against income go beyond rent, rates, equipment, marketing, insurance and salaries. How about food, holidays and school fees?

To help find out if you could cut your tax bill, we’ve asked Jonathan Amponsah of the The Tax Guys to explain more about some of the less well known business expenses you can claim. (more…)

7 Advantages a Sole Trader (self employed) Business has Over a Limited Company

Advanatges of running a business as a sole trader

For those new to the world of business there are many things to consider. One of the biggest decisions you’ll have to make when you’re starting a business is whether to set up as a sole trader (self employed) or limited company.

Both sole traders and limited companies have their distinct advantages and disadvantages (make sure you read our guide on 10 Advantages of running your business as a limited company instead of being self-employed to learn the main benefits of the limited company option).

Whilst the professionalism and protection that comes with running a limited company is appealing to many, becoming self-employed is the more straightforward option, and with it comes a number of other benefits. (more…)

What small business owners need to know about the new Digital Personal Tax Accounts

For millions of UK small businesses, ‘tax season’ represents a costly, time-consuming inconvenience. But Britain’s tax landscape is transforming: in March 2015, HMRC announced its plan to update the self assessment tax payment process – moving away from annual paper returns, and towards a digitized, online system.

The government’s new digital tax accounts system introduces a fundamental shift in the way small business owners – both those working as self employed and those operating as limited companies – report and pay their tax liabilities.

The introduction of digital tax accounts will, within a few years, make the annual self assessment tax return obsolete – so how exactly will the changes affect Britain’s small businesses? (more…)

Budget 2016 – Key points for small businesses

At 1.30pm on Wednesday 16 March, 2016, George Osborne delivered his eighth Budget as Chancellor of the Exchequer.

The overall headlines include the introduction of a sugar tax on soft drinks from 2017, extra funding for schools to have longer days and a downward revision of growth forecasts for the UK, but what did Budget 2016 bring for small businesses?

Here are the main points that affect business owners, both self-employed and limited company directors; (more…)

Dividend tax changes from April 2016 – A summary of the financial effects for small business owners

From 6 April 2016, the way dividend income is taxed will change significantly. The changes will affect hundreds of thousands of small business owners, many of whom will see a big jump in the amount of tax they will have to pay.

At present, company dividends are treated as ‘tax paid’ in the hands of shareholders. However, from April 2016 the tax treatment of dividends will be altered dramatically, and as you can imagine, this isn’t going to result in limited company directors paying less tax! (more…)

Business Taxation – What are the main taxes?

Review of business taxes

Small businesses, and the individuals who run them, are subject to a wide array of taxes – from Corporation Tax to National Insurance.

Here is an overview of the main UK business taxes you will encounter as a business owner, together with links to our more in-depth guides.
(more…)

Tax rates for small business owners – 2014/15

With the plethora of tax rates, thresholds and allowances changing every year, here is ByteStart’s summary of the main tax rates, tax bands, and allowances for the 2014/2015 tax year. We focus on the figures that are of relevance to business owners.
(more…)

Is an electric company car or van a viable option for my business?

A lot of thought goes into choosing the right company cars, or vehicles for your business. In finding the right vehicle for your needs, you need to take into account a whole host of factors, including, cost, availability, reliability, your brand image, and emissions.

In recent years electric cars have become more and more commonplace for environmentally aware drivers. Boasting zero emissions, a silent cockpit and advanced technology, they certainly possess some attractive qualities – but are they right for the day-to-day needs of you and your business?

If you’ve found yourself asking this question, these are some of the key issues for you to weigh up if you are considering buying an electric company vehicle: (more…)

Capital Allowances – A review of the various schemes available for businesses

When you buy certain new equipment, invest in buildings or research and development, you can deduct a proportion of the cost from your taxable profits and reduce your business tax bill, through Capital Allowances.

Capital Allowances take the place of commercial depreciation, which is not allowed for tax. Using them effectively can be a huge boost to your business, especially if you need to invest to fund growth.

Here’s a look at the main elements of the various capital allowances schemes and how your business can qualify to take advantage of them. (more…)

Guide to the main HMRC payroll forms for small businesses

When you run a small business, either as a sole trader, partnership or limited company, there will always be a number of HMRC forms you will need to be aware of. Although your accountant will typically take care of many of your form-filling duties, we have summarised what the most common forms are used for in this article.
(more…)