Best Accountants in Leeds

It is necessary to keep all your financial records. Keeping efficient records might help you in applying for any tax relief you are eligible for. You can either keep your records digitally or on paper. HMRC can also impose penalties on incomplete and inaccurate records. If you are not self-employed but filing self-assessment, it is necessary to keep the records of the last 22 months. Whereas if you are self-employed, you have to keep records of the five years.

It is because you are taking a lower salary than your previous employment. Your salary has shifted from a higher to a lower rate taxable income. Either some or all of the extra tax paid on a higher tax rate will be refunded to you in your salary account.

Corporation tax applies only to limited companies, foreign companies having an office or a company branch in the UK, and co-operative or unincorporated associations. While corporation taxes are not billed to you and require certain legalities from you.

Statutory accounts are also known as annual accounts. These accounts are a set of financial reports which are prepared after each financial year by limited companies. Statutory accounts are not just legal requirements but important in determining progress, failures and in predicting the future of a business. The statutory account reports must be shared with all the stakeholders and the HMRC for annual tax returns. The stakeholder of your limited company might include shareholders, company houses, and other relevant company personals.

The construction industry scheme (CIS) sets out the rules and regulations on payments made by contractors to subcontractors. These rules apply to construction industries and other businesses where contractors and sub-contractors are involved in construction work.