Understanding your tax liability is very important for anyone running a business or earning additional income that isn’t taxed at source. The tax you owe HMRC should be something you have an understanding of, and access to at any time. That’s what we help you achieve here at QAccounting.
IR35 Tax Liability
Anyone working as a contractor that is actively trading outside IR35 will have a potential tax liability should HMRC ever launch an investigation into their Ltd Company and deem them inside IR35. An IR35 enquiry can be very costly with HMRC’s reach going back up to 6 years into a company’s trading activity. IR35 is something that all contractors should have an understanding of and is something that everyone affected should be protecting themselves against. The implications of IR35 can be severe, so putting due-diligence in place is vital in both operating compliantly, and building a case in the event of an HMRC inspection.
What is my Tax Liability?
This is a very important question, and one that your accountant should be able to give you at any time. With tax implications as well as potential fines and penalties related to any unpaid tax to HMRC, it is important for anyone operating via a PSC or that earns self-employed income understands their tax exposure. As your accountant we can help calculate your tax liability so you know just how much money to put aside each month for your end of year tax bill.
We're Here to Help
If you're concerned about your tax liability or have any questions about our other services, contact our team today!