Tax and Sole Trader Essay

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Sole Trader vs Limited Company

The best option is to set up as a small limited company which has the following advantages:

Extended first period to 18months so there is no tax payment for 27months.

Dividends can be taken out so there is just one corporation tax payment during the year and no balancing payment with self-assessment, therefore you’re always aware of what you are paying in tax.

With us you will get an accountant that will deal with the Inland Revenue and Companies House issues leaving you to just worry about running your business and someone who was once a tax inspector so knows exactly what to claim.

The information that we need to get from you in order to get things set up is as follows;

NAME OF LTD COMPANY
FULL NAMES AND DETAILS
DOB
ADDRESS
NI NUMBER
COMPLETE A 64’8 AGENT AUTHORISATION FORM
CONTACT NUMBER

Then on a yearly basis we will require the following records:

Sales information or commission statements and any items purchased:

Travelling
Motor Expenses
Rent
Phone
Internet Expenses
Work Clothes
Computer Equipment
Office Equipment
Subscriptions (if no receipts a self-declaration will be sufficient)
Any other expenses you can think of

We will sort out all your business needs and save you at least double the amount in taxation than what our fee is or give you your money back if that can’t be proved.

Our normal fees are as follows:

Set up of Limited Company formation and life time submission of annual return and company secretarial support.

Normally £400+VAT
Your Price £300+VAT

Preparation of Quarterly Management Accounts to Control cost and Look at Tax Planning
Preparation of full accounts with tax computation
Preparation of Abbreviated Accounts
Preparation of Annual return
Preparation of corporation tax return with supporting calculation
Preparation of personal tax return with supporting calculation
Dividend Certificates
We also do preparation of monthly director’s wages but

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