How to pay your Corporation Tax bill

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Any company that makes a trading profit will need to pay Corporation Tax. The current rate is 19% of profits and is due 9 months and 1 day after the end of the company’s financial year. The tax return deadline is a day earlier than this. If you make profits of over £1.5m you need to pay in instalments, however … Read More

How to pay your personal tax bill

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The end of January marks both the deadline for filing your personal tax return as well as the expected payment date. We are often asked how to pay the tax bill. Previously it used to be quite complicated, however HMRC improvements have made it much easier to follow online, as well as offering many more payment methods. If you go … Read More

How to close a company

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It is a sad fact that many businesses fail in their first year and end up closing. Sometimes companies close for more positive reasons such as moving on to a new venture, selling the business, retirement, or moving back into employment or self-employment. Whatever the reason, there are certain things that need to be done to close a limited company. … Read More

What is my tax code?

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Everyone will have a tax code but not many people will understand what it means or what it is used for. I will attempt to give a short explanation of how tax codes work. Generally, most individuals in employment will receive a personal allowance. This is the amount of income they can make before they have to start paying tax … Read More

Do I need an accountant?

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When speaking to a friend and prospective client earlier this year, they asked me this question. I thought it was an interesting one and I wanted to write a short blog answering it as it may help other people who have a similar query. The simple answer is no, you don’t need an accountant. It is perfectly possible for many … Read More

How to raise invoices on Xero

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If you have the standard package or higher on Xero, you can use it to raise invoices to your clients. It is a quick and easy process and will likely save you a lot of time, especially if you were previously creating your invoices manually. The first thing to do is to ensure that you have the client set up … Read More

What happens when I enter the higher tax bracket?

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Entering the higher tax bracket (total income over £50,270 for the 2022/23 tax year) could be a sign of a promotion or pay rise, or your self-employed business moving from strength to strength. However, there are some consequences to this that you may not be aware of. Some of them are positive, some are negative, and some may not apply … Read More

What is Making Tax Digital for Income Tax Self Assessment and will it affect me?

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HMRC have been working on their Making Tax Digital (MTD) program for several years. It has been implemented for VAT returns and they are looking to implement it for Income Tax Self Assessment (ITSA) next, with partnerships and Corporation Tax being further down the road. The current implementation date for MTD for ITSA is April 2026 – this was pushed … Read More

How to take money out of a limited company

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There are a few ways to take money out of a limited company, which all have different tax implications. I will summarise them all briefly here, but please feel free to get in touch if you want to discuss any of them further. Loan repayments If you have loaned money to the company, for example by investing funds to get … Read More

Accounting issues for psychologists

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A significant number of our clients are psychologists running their own practice, so I thought it would be useful to write a guide highlighting issues specific to them. Please let us know if there is anything below that I have not covered, and I will look to update this post. There is a lot of information below – please remember … Read More