Dave Stallon, owner of The Plastics and Engineering Company, has been a member of the FSB for more than 20 years, here he talks about the importance of seeking advice.
I set up my business 22 years ago but alongside the pride of being a business owner came the daunting task or running it. I knew my industry inside out, but I fell short on fundamentals like insurance, HR and debit recovery so I became an FSB member.
I once failed to file a tax return on time and needless to say I was stung with a fine. However I flagged this to the FSB and its tax team helped rectify the situation.
Tax implications vary for SMEs, that’s why you need to have a tax specialist on hand. Below are a few tips I’ve picked up along the way:
- Make sure you are VAT registered in time
Keeping accounts up-to-date on a monthly basis enables you to look back across the past 12 months and ensure you haven’t hit the VAT registration threshold of £81,000.
- Make sure you meet revenue deadlines
It’s not just the VAT threshold you need to keep track of, but all the various deadlines for NICs, PAYE and Self-Assessment deadlines.
- Keep thorough business records
HMRC investigations can take place at any time even after a business has ceased trading so make sure you save all business documents and receipts for at least six years.
- Have the right paperwork for employees
Whether it’s a part-time worker, casual worker or full-time employee you need to make sure the HMRC is aware of their status and that a record is kept (for six years).
The FSB comes into its own when it comes to tax advice and making tax less taxing.
For more information visit www.fsb.org.uk/join or call 0808 1688 512 to chat with one of our team quoting EXP1.