Accounting for Contractors

Glasgow Accounting Advice for Contractors

Here at Tax Kings, we provide a high-quality service tailored to contractors and freelancers. We provide you with clear, expert advice and great customer service which will allow you to relax knowing everything is taken care of.

It doesn’t matter if you’re still deciding on what company structure to operate under or if you’re structuring yourself as a limited company, use a reliable and qualified company to help advise you.

Contractors typically encounter more financial responsibilities than employees and this is why a lot of people opt to go down this route. We all have expenses and a lot of people don’t know that as a contractor you can claim tax back on certain outgoings like travel, food expenses and even a cup of coffee. There are a lot of other expenses we can advise on that can be reimbursed. Employees don’t have the option to do this and often pay much more tax because of it. Becoming a contractor also comes with other advantages too.

Common pitfalls of handling tax as a contractor

  • Inaccurate figures – If you’re submitting your returns yourself, you need to always double check the figures you use, especially your salary, dividends and ‘other income’ data. If your accountant is filing your data on your behalf you’re still responsible for the accuracy of the data. This is one of the main reasons you might prefer having an accountant like Tax Kings. This gives you another set of eyes that are experienced and will make sure you’re submitting the correct data
  • Poor record keeping – You need to keep all your relevant paperwork in a safe place. Some typical documents a contractor will need are, records of any student loan payments paid, records of any payments into a pensions scheme, salary and benefit related HMRC paperwork, payments into an employee share scheme and child benefits. Having an accountant will ensure you’re not only submitting the correct data but you’ll also have help with bookkeeping, get unlimited telephone/email support,  help with tax returns and more
  • Missing the filing deadlines – You have until the 31st January after the tax year ends to submit online but failure to submit could result in you being fined. January is also the deadline to pay any tax you owe. Having an accountant will make sure this is all done on time
  • Missing supplementary pages – A lot of the time you’re required to send supplementary pages to include information on additional income. The online form will tell you to do so but if you’re not online you could forget. Having an accountant will ensure you submit the correct information and also make sure you haven’t missed anything
  • Failure to declare all income – You must declare all of your income on your income tax return, failure to do so could result in penalties especially if it appears to be deliberate. You should make sure you declare the following types of income – dividend income, salary from all types of employment, government benefits, pension income, income from letting out properties, interest on any savings, foreign income, employee share schemes and any capital gain. However, income generated from ISAs, National Savings, Premium Bonds and prize winnings don’t need to be reported

 

Benefits of choosing Tax Kings

Less fuss and more service – we’re extremely passionate about delivering on our promises and making your life easier. You’ll always have someone who knows your account well at Tax Kings. You will be able to reach out to them for advice and support when needed.

Pay less Tax, earn more – We want you to keep as much of your earnings as possible. We will help you structure your business in the most tax-efficient way possible. We will also keep you advised of any changes in circumstances or HMRC rules.

We keep everyone happy! – We do everything to keep HMRC and most importantly you happy. We want to take the burden away from doing accounting and admin tasks. This will allow you to spend more time on your business. We will also make sure you will never miss a deadline or have to pay a fine!

When dealing with tax you’ve got be sure you’re entering the correct data and filling out the appropriate forms. To prevent any hassle or stress, we highly recommend seeking out the services of an experienced and reliable accountant.

This will allow you to spend more time on your business and the majority of the time this works out best anyway as you’ll probably do your business more benefits by focussing your time there than filling out tax forms.

Call for Tax Kings contractor accounting advice

If you are a contractor in Glasgow looking for looking for advice that will make handling your finances more accurate and efficient, please get in touch with our dedicated team on 0141 333 1852 or send an email over to contact@taxkings.co.uk

top