Newly self employed? v2

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Post on 15-Jun-2015

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Slide to go alongside the video: http://youtu.be/RD47zx2HzLM If you have been an employee and just started self employment there are a few points to be aware of. Whether it's National Insurance you hadn't expected, or payments on account doubling your tax bill you hadn't budgeted for - this video will give you the information on things to watch out for, that continue to catch people out every year. Http://www.taxhelp.uk.com

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<ul><li> 1. Newly self employed? Tax points to watch out forHelping self employed people pay less tax and avoid fines</li></ul> <p> 2. Helping self employed people pay less tax and avoid fines 3. Tax &amp; National Insurance There are two types of national insurance for the self employed personHelping self employed people pay less tax and avoid fines 4. Tax &amp; National Insurance You might be shocked to find out that there could be two years worth of tax due in one yearHelping self employed people pay less tax and avoid fines 5. Tax Is paid on the 31st January following the tax year end. PLUS possible payments on account for next yearHelping self employed people pay less tax and avoid fines 6. Payments on account Are an estimated tax due on 31st January and 31st July So, in effect you could pay 150% of the expected tax bill on 31/1, with a further 50% on 31/7.Helping self employed people pay less tax and avoid fines 7. National insurance Class 2 contributions: set at a fixed amount per week. Paid throughout the yearHelping self employed people pay less tax and avoid fines 8. National insurance Class 4 contributions: based on the profit at the year end. Paid at the end of the year, alongside the tax due.Helping self employed people pay less tax and avoid fines 9. Record Keeping Keep receipts and invoices for 6 years.Helping self employed people pay less tax and avoid fines 10. Record KeepingHelping self employed people pay less tax and avoid fines 11. Record Keeping In case of enquiry reduced costs if records are complete and easily searched. To reduce input time - update your records regularly... or get help doing this.Helping self employed people pay less tax and avoid fines 12. New penalties From April 2011 Return not submitted - 100 fine plus: After 3 months late 10 per day for up to 90 days, then After 6 months late the greater of 300 or 5% of the tax due After 12 months late the greater of 300 or 5% of the tax dueHelping self employed people pay less tax and avoid fines 13. New penalties From April 2011Plus up to 100% tax penalties for incorrect/failing to notify HMRC .Helping self employed people pay less tax and avoid fines 14. New penalties will stand even if there is no tax due.Failing to submit a return for a year, with no tax actually due,could cost up to 1600 in fines now.Helping self employed people pay less tax and avoid fines</p>