Small businesses / 217 posts found
April 2011 Questions and Answers
This is a round-up of questions that have been raised by clients over the past few weeks. They are being posted here for general information, but please see the disclaimer at the end!!! if you want to discuss how any of these issues – or other tax and related business matters – may affect your business please get in touch (email here or telephone 01905 21411) for a free, no-obligation discussion. To sign up for our monthly Newsletter for Small Business visit our webpage here. Too big to cash account Q: I am about to complete my VAT return for [...]
VAT Flat Rate Scheme
When advising clients, one of the areas we examine in some detail is value added tax, not just whether or not they should register (if they have a choice!) but also which of the various schemes available is most suitable. The Flat Rate Scheme is intended to simplify VAT accounting, but in the right circumstances it can also result in improved profits. We have put together this guide to how the scheme operates; if you think it may be beneficial to your business please get in touch (email here or telephone 01905 21411) for a free, no-obligation discussion. VAT Flat [...]
March 2011 Questions and Answers
This is a round-up of questions that have been raised by clients over the past few weeks. They are being posted here for general information, but please see the disclaimer at the end!!! Bad debt adjustments Q: I have recently found out that one of my customers has been declared bankrupt. Unfortunately, I invoiced them four months ago for £1,000 plus VAT of £175 and as this is still outstanding, there is a good chance I won't receive this and will need to write it off. How do I account for this in my December 2010 year-end accounts and what income [...]
February 2011 Questions and Answers
This is a round-up of questions that have been raised by clients over the past few weeks. They are being posted here for general information, but please see the disclaimer at the end!!! Tax Point of a Transaction for VAT Q: I have recently registered for VAT and I am getting slightly confused regarding when my supplies and purchases take place in regards to VAT quarters. Could you please explain to me when a transaction takes place for VAT purposes? A: The date when a transaction takes place for VAT is called its tax point. It is not always the date [...]
January 2011 Questions and Answers
This is a round-up of questions that have been raised by clients over the past few weeks. They are being posted here for general information, but please see the disclaimer at the end!!! Margin Scheme Q: I am a second-hand car dealer who is now approaching the threshold for VAT registration. A friend of mine who also deals in second-hand goods, albeit art and antiques, has informed me that there may be a VAT scheme which I can use to minimise my liability and administration costs. Could you please advise me if such a scheme exists and explain the mechanics [...]
December 2010 Questions and Answers
This is a round-up of questions that have been raised by clients over the past few weeks. They are being posted here for general information, but please see the disclaimer at the end!!! Meals provided for employees Q: I own a gift shop and we are now opening longer hours in the run up to Christmas. On certain days this means opening late at night and we are now opening on Sundays too. I need my staff to do additional hours during this busy period and want to pay for their meals when they are working longer hours than usual. If I [...]
Christmas Tax Tips
Guidance on Christmas Parties and Gifts Wit the year-end fast approaching this seems like a good time to remind everyone of the tax surrounding tax and VAT when it comes to Christmas parties and giving gifts to customers and staff. Staff Christmas Parties An employer can pay up to £150 per head per tax year for the provision of a Christmas party or similar annual function, with no liability to income tax arising on the employee. The cost per head must include the cost of the actual party or function (including room hire, food and drinks, entertainment and any other [...]
Bookkeeping Basics
It is a legal requirement for every business to keep accurate records of its financial transactions. The basic need it to keep track of what the business owes, what the business owns, what its income is and what its outgoings are. There are lots of inexpensive bookkeeping programmes available designed for non-accounting types, and nowadays most people have some sort of spreadsheet programme which makes it quite straightforward to record money coming in and out of the business. At its simplest, cash accounting is a system where transactions are only recorded when money is either paid out or [...]
Questions and Answers Bumper Edition
Each month we prepare a 'Q&A' covering questions raised by clients. Although I will normally post them here monthly, this is a catch-up of the past few months, so happy reading! As always if you want to discuss any of the items as they apply to your particular circumstances please get in touch and we can arrange a suitable time to meet. June 2010 Questions and Answers Cycle To Work and Tax Free Bicycles Q: Due to the increase in fuel prices over recent months, I've now started cycling to work. My employer has suggested that they could offer me [...]
Emergency Budget Round-up
Chancellor George Osborne revealed a mixed bag of measures that will affect small businesses around the UK in the new coalition government's first Budget. He announced that the Lib-Con coalition will not be making any cuts to capital expenditure during this parliament. This could come as good news to a number of businesses in the construction sector and should serve to protect a number of jobs. One of the highlights of the speech with regard to small business organisations was the introduction of a new national insurance scheme. Under the initiative, certain businesses will be exempt from up [...]