tax is so confusing...

cal_dood · Sep 10, 2009

ive pretty much set up as a sole trader, obviously though i have to save some cash for tax

, so can someone give me some ideas on what taxes im going to have to pay????

i get all the national insurance stuff coz it pretty much tells you straight on the hrmc website but they seem to be dying to know all about your business before they tell you how much its gonna cost in tax. thanks peeps

ian.settle1 · Sep 11, 2009

cal_dood said:
ive pretty much set up as a sole trader, obviously though i have to save some cash for tax, so can someone give me some ideas on what taxes im going to have to pay????

i get all the national insurance stuff coz it pretty much tells you straight on the hrmc website but they seem to be dying to know all about your business before they tell you how much its gonna cost in tax. thanks peeps

Get an accountant as he will know what you can claim for and what not, may cost you about £500ish but in the long run you will probably better off.

PaulS · Sep 11, 2009

Hi, I can help you with that, as a rough guide the first tax band is £6475.00 then anything over that is taxed at 20%.

The National Insurance Stamp is £125.00 and then National Insurance is calculated at 8% so on £20,000 net earning your NI would be £1143.00.

Please feel free to drop me a line and I will be more than happy to help and more than likely save you some money.

Regards

cal_dood · Sep 11, 2009

PaulS said:
Hi, I can help you with that, as a rough guide the first tax band is £6475.00 then anything over that is taxed at 20%.

The National Insurance Stamp is £125.00 and then National Insurance is calculated at 8% so on £20,000 net earning your NI would be £1143.00.

Please feel free to drop me a line and I will be more than happy to help and more than likely save you some money.

Regards

Just to make sure, the stamp is the £2.40 a week (which is class 2 national insurance) n the 8% is class 4 insurance?? maybe the other way around for the classes i forget.

also if i spend money on company things e.g tools, office supplys ect... this wont be taxed will it since its counted as a loss and is "offset" against my tax????

PaulS · Sep 11, 2009

Hi, yes that's correct. All you purchases for your business from tools to the amount you pay your bookkeeper or accountant is tax deductable or offset against your taxable profits.

Mac · Sep 11, 2009

PaulS said:
Hi, I can help you with that, as a rough guide the first tax band is £6475.00 then anything over that is taxed at 20%.

The National Insurance Stamp is £125.00 and then National Insurance is calculated at 8% so on £20,000 net earning your NI would be £1143.00.

Please feel free to drop me a line and I will be more than happy to help and more than likely save you some money.

Regards

Are you an accountant or a spark