1st Year ltd company - what tax is due?

[Contreras]

I've been contract for a while but just recently started my own ltd company. I registered it in October '11 and started invoicing, no problems.

I've been fortunate that so far I've taken less than £6k since October ...

Assuming this means that you personally have received "less than £6k since October" ...

- Does the client pay directly to a business account held in your Ltd Co.'s name (rather than direct to your personal account)?

- Have you registered the company with HMRC for PAYE?
If the answer is No to either of these then bend over and get ready to be shafted.

I haven't got an accountant yet but I've have been keep financial records, recipts etc... basically what HMRC advises.

Best take what you have to an accountant and get it sorted then, eh?

[pmeswani]

No, VAT except at the moment. By the end of the year I expect to have earned enough to pay VAT however.

Have you not heard of the Flat Rate VAT Scheme then? One way to earn a few pennies from Charging VAT. I would seriously get an Accountant sorted out sooner rather than later. If you don't have time to get an Accountant now, I wonder how much time you will have to do your Corp Tax, PAYE, Expenses, etc., etc. when it comes to your Year End.

[Danielsjdaccountancy]

I'm going to get one this month, I just wanted some heads up what I should expect this year, I've just been too busy to sort it out.

Hi,

Definitely get one in place now before your company yearend has passed, that way giving your accountant the best chance of mitigating any corporate taxes you have to pay.

If you had of put one in place before 5th April then there would have been a chance to mitigating any personal taxes or even possibly maximising your tax free dividend allowance but this date has now passed.

Either way I suggest getting one in place now as a good accountant will earn their fees for you in saved taxes.

HTH

[mrnoodle]

Assuming this means that you personally have received "less than £6k since October" ...

- Does the client pay directly to a business account held in your Ltd Co.'s name (rather than direct to your personal account)?

- Have you registered the company with HMRC for PAYE?
If the answer is No to either of these then bend over and get ready to be shafted.



Best take what you have to an accountant and get it sorted then, eh?

the answer to the above is yes and yes. i've been contracting for about 10 years via an umbrella.

[mrnoodle]

Hi,

Definitely get one in place now before your company yearend has passed, that way giving your accountant the best chance of mitigating any corporate taxes you have to pay.

If you had of put one in place before 5th April then there would have been a chance to mitigating any personal taxes or even possibly maximising your tax free dividend allowance but this date has now passed.

Either way I suggest getting one in place now as a good accountant will earn their fees for you in saved taxes.

HTH

Agreed.

[chef]

the answer to the above is yes and yes. i've been contracting for about 10 years via an umbrella.

And in those 10 years you never decided to get an accountant????

And when you decided to switch over you still didnt bother getting an accountant before u switched?

[northernladuk]

the answer to the above is yes and yes. i've been contracting for about 10 years via an umbrella.

Wait till Bolshie sees this. He will have a fit LOL

[Contreras]

- Does the client pay directly to a business account held in your Ltd Co.'s name (rather than direct to your personal account)?

- Have you registered the company with HMRC for PAYE?

the answer to the above is yes and yes. i've been contracting for about 10 years via an umbrella.

Great! So have you filed P35 / P14 yet?