Income Tax – This is the most common form of taxation in Britain. It is levied on every individual, corporation and trust. In simple terms, it is the percentage of your earnings that goes into the government’s coffers. Corporation Tax – This is charged against companies and trusts. It is calculated on profits and losses….
The dividend tax is one of those taxes you hear about once every few years, but it’s actually pretty important. If you’re wondering what the difference is between paying income tax and paying corporate income tax, here’s a quick primer. Income tax vs. Corporate tax Income tax refers to how much money you make compared…
Hiring someone for the firsttime can be stressful, especially when you haven’t done it before. Taking on an employee for thefirst time can be even more daunting when you don’t know exactly what you want out of them. But there are some simple steps you can take to make sure you get off to a…
Statutory maternity pay is the best way to ensure you receive full pay during pregnancy. This is usually calculated based on how long you worked up till the day you gave birth. If you are self employed, it’s important to check whether you are covered by SMP or not. You might also want to consider…
There are many different types of pensions schemes available to people who are employed by someone else. These include defined benefit schemes, where you receive a fixed amount of money every month until you die; defined contribution schemes, where you pay into a fund and take out a set amount each month; and personal pensions,…
1. Choose the Kind of Limited Liability Company You Want to Create. There are several types of limited company, each with different advantages and disadvantages. Here we look at some of the most common ones, including sole traders, partnerships, unincorporated associations, and public limited companies. We also take a look at how to set up…
Metal rats are great at managing finances. They are lucky in wealth and good at handling money matters, according to Companies House. In fact, metal rats are so good at it, that they are often chosen to manage companies’ accounts. But what do you think about accounting firms? Do you need one? Why? What does…
Consider forming a limited liability company for your business. A limited company shields shareholders from liabilities and protects them against bankruptcy, while protecting your personal assets from creditors. Limited companies give you legal protection, helping you avoid paying tax. They are often used by entrepreneurs and freelancers, and many people set one up when starting…
A partnership is a legal structure that allows individuals to work together towards a common goal, without being personally liable for each others’ debts and obligations. This type of arrangement is commonly used by small businesses and entrepreneurs who wish to limit their personal exposure to potential losses. In addition, partnerships allow owners to split…
What is mileage allowance? Mileage allowance is a tax benefit offered to employees who commute regularly to work. If you are eligible for this benefit, you can deduct up to £2,500 from your taxable income each year. This is known as’mileage allowance’ because the amount you can claim depends on the number of miles you…