now thtat i am up and ready...

[krazyhorse]

Hi guys

yes, its xmas eve, and i should be chilling out, but I am quite excited about my new biz start up. I have my Logo, website, flyers, business cards and invoices at the ready AND i have just applied for a Business Account, so I can pay and receive through my LTD company.

Now just a few questions, if you guys could kindly help because I have no idea...

1. How do I pay my company taxes, VAT, etc. As you can tell I have no idea how that part works...

2. As I am a mobile computer repair company, could I claim my VAT back from an item, if I can provide "business evidence" for its use, e.g. Sat nav? I know I can't claim for example "corporate lunch" VAT, but I know advertising and say business cards, I could claim back VAT - but how?

3. So long as I take care of my book-keeping and hold all receipts for money going in and out of my account - is this ok? Do I need to take this info to an accountant for VAT/TAX perposes, or can I do it myself?

If anyone could help with this info, I would be truly grateful, I plan to kick off my marketing plan in January, so as soon as my business is up and running, I would like to know what to do, with the accounting/tax side of things. Thanks

 

[fastfences]

Hi Krazy,
Yes, Christmas Eve is a great time for working.

You can only claim and receive VAT if your are registered to do so. You can voluntarily register, but for your type of business it is usual that you'd be a sole trader and therefore not required to record the ins and outs of VAT.

On the other side, the cost of your Sat Nav and the like can be claimed as business expenses (expenditure necessary to earn income) and claimed against the end of year tax to be paid.

You are really best advised seeking this type of info from an accountant, who, incidentally, you really need at this crucial pre-launch stage.
Cheers, Nigel

 

[Hayles]

Hi Krazy

Yep, would agree with Nigel. This is the time you really need to find an accountant. Discussing what you need to do now can save you hours (and therefore extra costs) in a year or two.

Best of luck
Hayles

 

[profitxchange]

Re your vat question.
Sole traders are subject to excatly the same VAT rules as anyone else. You need to consider carefully whether it is best for you to register.
If you are dealing with joe citizen you will be adding 17.5% to your prices so you need to be sure it still keeps you competitive. If you deal mainly with VAT registered businesses it is not so critical and the benefits of you being able to claim VAT on your purchases may make it worthwhile.
as the others have said advice from a good accountant (not abook keeper) is worth its weight in gold.

 

[robbie williams]

Hi there Krazyhorse - as above, now is the time to engage with an accountant!! Good luck with your new business!

 

[Minnsy]

Krazyhorse...just a small point - your site, main page (at bottom) - 'Testimonials' - You seem to have a slight variation on the normal way of spelling this word...

Cheers!

 

[krazyhorse]

Hi guys

I guess the obvious next question from me is:

Do any of you know a good acountant? LOL

thanks for the heads up Minnsy, i will correct asap