Joshi Accounting Services

VAT can be calculated and paid using various scheme like "Flat rate", "Cash Accounting", "Annual Accounting"or "Retail Scheme. Even retail scheme is containing subdivision. Choosing correct VAT scheme will lower your VAT liability and simplify document management for VAT If you believe that your personal income for the year, which will include Directors' Fees, gross dividends and other income, will take you over the higher rate threshold, you will have a higher rate Personal Tax bill to pay once your Self-Assessment return is completed. With effective tax planning you can reduce or eliminate this liability through your pension contributions. Depending upon the circumstances please consider having required insurance from the shelf like "Professional Indemnity Insurance", "Public liability Insurance", "Employer liability Insurance", "Business assets/stock Insurance" or "Personal Insurance If you believe that your personal income for the year, which will include Directors' Fees, gross dividends and other income, will take you over the higher rate threshold, you will have a higher rate Personal Tax bill to pay once your Self-Assessment return is completed. With effective tax planning you can reduce or eliminate this liability through your pension contributions. Where amounts have been borrowed from the business but not identified as dividends or salary, they will be classified as directors' loans and shown in the accounts as such. If you leave a directors' loan in the company at the year-end there may be additional tax to pay and your company will have to provide supplementary returns to HMRC. Capital expenditure refers to anything tangible that you purchase for your company for future use such as Plant, computer equipment, tools and equipment. Corporation Tax deductions for the cost of the item is given over a number of years mostly. However with ‘Annual Investment Allowance’, whole costs can be deducted from the company profit before Corporation Tax is calculated. The Rent a Room scheme is an optional exemption scheme that lets you receive up to £4,250 of tax-free income from renting furnished accommodation in your only or main home. You can choose to take advantage of the scheme if you let furnished accommodation in your only or family home to a lodger. Private residence relief applies if you have lived in your house and it has been your only residence for the period you have owned it. In this instance you will not have to pay Capital Gains Tax on any money you make when you sell your house. To qualify a property for this relief certain conditions must be satisfied. There are special rules which govern the use of child care vouchers which directors of companies and or their company secretaries can make use of; these could save approx £1,000 in annual person tax bill. Company will be claiming expense of full amount. You’ll usually get Child Benefit 
for children you’re responsible for, even if you’re not their parent. Only 1 person can get 
Child Benefit for each child. The Government gives you nearly £1000 a year (in year 2015) for your first child, and over £600 a year (in year 2015) for each subsequent one. You could get Housing Benefit to help you pay your rent if you’re on a low income. Housing Benefit can pay for part or all of your rent. How much you get depends on your income and circumstances. You can apply for Housing Benefit whether you’re unemployed or working. Maternity Allowance is usually paid to you if you don’t qualify for Statutory Maternity Pay. The amount you can get depends on your eligibility. You can claim Maternity Allowance as soon as you’ve been pregnant for 26 weeks. Payments can start 11 weeks before your baby is due. Disclaimer : The information on this web site is general and for guidance only. Please speak to office for your specific queries and before taking any action based on this information. Information and figures are subject to change, we cannot be held responsible for any consequences as a result of acting on the information contained in these pages.