A Guide to Tax and National Insurance for Small Businesses
If you’re starting a business, it is essential that you at least know the basics of tax and national insurance and your tax obligations. Tax inspectors will pay just as much attention to the profits and accounts of a small business or sole-trader as they would a large firm. What are the different taxes businesses should be aware of? There are a range of different taxes which depend on the type of business, business formation and how your business operates. Income tax and corporation tax: Income tax applies if you are self-employed or an employee of a business. If you are a limited company then you must pay corporation tax. National Insurance: National Insurance (NI) is a form of tax paid by both employers and individuals. Value Added Tax: Value Added Tax (VAT) is tax on the supplies and sa... »