UK Warriors - How Did You Set Up Your Home Office? | Warrior Forum - The #1 Digital Marketing Forum & Marketplace

13 years ago

It sounds like you're already doing some of the things you need to.

Claiming for utility bills - you can claim for a portion of these (the portion related to work, obviously)

Tax - is going to be different for everyone. The bureaucracy (sp?) is staggering, so you really have to get the advice of a trained professional.

On that note, business link was set up to deal with situations exactly like this one. Free impartial expert advice - what more could you ask for? They've saved me time and money more than once.

Business support, information and advice | Business Link

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Epicurus

13 years ago

Hey thanks for that info scattermouse.

I see you're from Sheffield, I'm just down the road in Swinton and my GF works in Sheffield for the Sheffield Star newspaper.

Thanks
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Richard Tunnah 13 years ago

I'd suggest a good accountant. Many will give you a free intial consultation on the best way for you to trade and what you can and can't claim for. It's very important to get these things right for you to begin with otherwise you could end up paying more tax than needed or getting fined!

Good luck.

Rich (UK expat)
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scattermouse

13 years ago

Originally Posted by Epicurus

Hey thanks for that info scattermouse.

I see you're from Sheffield, I'm just down the road in Swinton and my GF works in Sheffield for the Sheffield Star newspaper.

No probs. Always happy to help, especially a local lad. How you coping with the snow?

Thanks
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Epicurus 13 years ago

Originally Posted by scattermouse

No probs. Always happy to help, especially a local lad. How you coping with the snow?

Thank you for that.

This is one of the days when I'm glad I don't have to commute to work anymore

Obviously the country has ground to a halt again.
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GoGetta

13 years ago

I would also think about setting up as a Limited company, costs about £30 but then takes liability from you. If anyone was to sue you personally you can lose everything, if anyone sues you via the limited company, your company is liable not you!

Obviously worst case scenario, but may be an idea! Depends of course on what you are planning on doing online!

GoGetta

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rosetrees

13 years ago

Originally Posted by GoGetta

I would also think about setting up as a Limited company, costs about £30 but then takes liability from you. If anyone was to sue you personally you can lose everything, if anyone sues you via the limited company, your company is liable not you!

I don't think that is necessarily true. If, for example, you trade while insolvent then you ARE liable for you company's debts.

When I first became self-employed I went on a business start-up course run by Business Link.

I think they still do them, they are free and they tell everything you need to know.

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lloydy14

13 years ago

Hi Epicurus.

The best advice you can get for free, is probably the most overlooked.

Ring the inland revenue direct and ask their advice, they will tell you everything you need to know about your own situation.

Once armed with that information then approach a good accountant, preferably on recommendation of a friend or colleague who has at least 5 years of a business relationship with said accountant.

trust me as someone who has just finished with a very stressful tax investigation brought on by an inept and corrupt accountant.

The best way to beat the system is to know the system fist before you hire an accountant.

Hope this helps.

Lloydy

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Riz

13 years ago

Originally Posted by GoGetta

I would also think about setting up as a Limited company, costs about £30 but then takes liability from you. If anyone was to sue you personally you can lose everything, if anyone sues you via the limited company, your company is liable not you!

Obviously worst case scenario, but may be an idea! Depends of course on what you are planning on doing online!

GoGetta

This is good advice. However, it is best to consult a qualified professional before going ahead with the limited compamy route. Depending on your earnings there may be different tax benefits to setting up as a Sole Trader, LLP (if you Partner with someone) or as a Limited Company.

A Limited company is considered a legal entity in its own right so as Jamie suggested can limit your liablity in a worst case scenario.

Originally Posted by lloydy14

Hi Epicurus.

The best advice you can get for free, is probably the most overlooked.

Ring the inland revenue direct and ask their advice, they will tell you everything you need to know about your own situation.

Once armed with that information then approach a good accountant, preferably on recommendation of a friend or colleague who has at least 5 years of a business relationship with said accountant.

trust me as someone who has just finished with a very stressful tax investigation brought on by an inept and corrupt accountant.

The best way to beat the system is to know the system fist before you hire an accountant.

Hope this helps.

Lloydy

Without a doubt this is a course of action most overlooked. The IR is seen as this big bad governing body who steals our money.

The IR website and telephone support can give you the best advice completely free of charge.

Riz

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Psy

13 years ago

Originally Posted by lloydy14

Hi Epicurus.

The best advice you can get for free, is probably the most overlooked.

Ring the inland revenue direct and ask their advice, they will tell you everything you need to know about your own situation.

Once armed with that information then approach a good accountant, preferably on recommendation of a friend or colleague who has at least 5 years of a business relationship with said accountant.

trust me as someone who has just finished with a very stressful tax investigation brought on by an inept and corrupt accountant.

The best way to beat the system is to know the system fist before you hire an accountant.

Hope this helps.

Lloydy

2 great pieces of advice here. HMRC are there to help - even if we don't automatically think so

And of course a recommendation is always better than a sales pitch.

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Kishor Karsan

13 years ago

Hi

I too am needing info similar to Epicurus....... I am going to go through the business link website

Epicurus, in IM we really don't care if the country comes to a halt, that's the beauty of it, if the country comes to a halt, our online business just keeps on going

.... i like that

regards

Kishor

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Frank Donovan 13 years ago

The best advice is obviously to consult (or hire) a qualified tax professional.

There are many potential allowances for the self-employed, depending on your specific circumstances and set-up. You may be able to claim reductions in mortgage payments, council tax and cleaning(!), for example. Here's a link to some further reading:
Specific deductions: use of home: specific expenses

I have a separate room in the house dedicated to business, with its own phone line - don't forget you can claim for a portion of your broadband fees if you do most of your business online.

I stress again that you must get professional advice, as a lot of these claims/allowances may have other impacts on your own situation (e.g. for CGT when you sell your property) so everyone's optimum course will be different.

Good luck!

Frank
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Neil Morgan

13 years ago

All good advice.

On a slightly different note, I'd recommend you systemise eveything from the get-go.

I spent the first few years of my Internet Marketing career doing it all manually with spreadsheets etc. While that's fine in the beginning, you outgrow it pretty quickly and it's MUCH harder to change to a new system than to start with one.

The software we use is QuickBooks - the Professional version because it handles multiple currencies.

Now things like VAT returns are done in 2 minutes instead of 2 days.

I hope this helps.

Cheers,

Neil

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Riz

13 years ago

Regarding the 20% Earnings for tax - of course that depends on your level of earnings.

You could be liable for 40% if you are earning high enough.

Riz

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Elaine From London

13 years ago

The best source of information I found was my local tax office - they run workshops every couple of months covering everything you need to know about what you can legitimately claim for and how various things are calculated (depreciation on equipment purchased etc). Very relaxed and friendly (not at all what I expected from the IR!), and extremely helpful.

Once you learn the rules, it all seems so much easier. I have not bothered with an accountant, but I did work as a bookkeeper at one time, so it's not all new to me.

Don't know if you were aware, but there is a time limit on registering as self-employed -I think it used to be 90 days, but I'm not sure, so you need to start paying the right NIC.

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newton

13 years ago

Not that I'm an expert in the tax side of things, all I can share is what I have done for the past 4-5 years.

Go self employed, no need for a LTD company. There are very few liabilities that you could be liable for when working from home with no employees.

The most important thing - get a good accountant. I just give mine the full 12 months accounts, discuss things we can claim for and he works it all out. Should cost you no more than £150 a year. Just keep good records of bank ingoing/outgoing, petty cash ingoing/outgoing and receipts for all your expenses.

That's pretty much it.

Don't forget about your National Insurance too, takes the total percentage to around 25% or so.

Like I say, no expert, that's just what I do!

All the best

Tony

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John Tighe

13 years ago

Originally Posted by newton

Not that I'm an expert in the tax side of things, all I can share is what I have done for the past 4-5 years.

Go self employed, no need for a LTD company. There are very few liabilities that you could be liable for when working from home with no employees.

Hi Epicurus

In a former life I was a corporate lawyer and I'd strongly suggest that you set up a limited company both for the tax advantages and to protect yourself if things go wrong.

Liability

newton may be right to say there are few liabilities, but that's not the point. There ARE liabilities and you need to protect yourself BEFORE things go wrong. Once they have it's too late!

Also, if your business is successful you risk getting sued by freeloaders trying to make an easy buck (ok, pound!). There are plenty of dodgy solicitors out there who will take claims on on a "no win no fee" basis, so someone can sue you at no cost / risk to themselves.

If this happens you at least want the liability to be with the company and not you personally.

Originally Posted by newton

Don't forget about your National Insurance too, takes the total percentage to around 25% or so.

Like I say, no expert, that's just what I do!

Tax advantages

As the director of a limited company you can get your tax rate down significantly from 25%.

For example you can pay yourself £410 a week without having to pay any tax or national insurance (I'm pretty sure that's the figure my accountant gave to me - it's there or thereabouts, anyway).

You can then pay yourself a dividend from any profits that the company makes and have the company pay tax on the dividend.

The way this works is that the company pays tax at 21% (the rate for small businesses) on the profit before the dividend is paid to you. You can then receive an after tax amount of around £8,000 a quarter (or £2,670 a month).

So in total you can receive approximately:

12 x 410 = 4,920
+
4 x 8,000 = 32,000

= 36,920

On which the company will have paid £8,506 of tax.

8,506 / 45,426 gives you a tax rate of 18.7%

** Please note, these figures are approximate. You'll have to check with an accountant the precise amounts, but they're close enough to give you an idea.

There are all sorts of ways of offsetting expenses. Once your business is making money one of the most worthwhile things you can do is interview accountants until you find one who really knows their stuff.

Hope this helps,

John

P.S. Something else I meant to mention, you don't have to pay a lot of money to a law firm to set up a limited company.

You can use an online service and get one set up in a few minutes. I've used Company Formation Wizard to set up two companies.

Their basic package is £24.99 plus VAT. Their website is www.company-wizard.co.uk

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John Tighe 13 years ago

Something else I meant to mention, you don't have to pay a lot of money to a law firm to set up a limited company.

You can use an online service and get one set up in a few minutes. I've used Company Formation Wizard to set up two companies.

Their basic package is £24.99 plus VAT. Their website is www.company-wizard.co.uk
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- John Tighe 13 years ago
  
  Another example of how you can save yourself money through a limited company is that even if you own your own car (as opposed to having a company car) you can still charge mileage to the company.
  
  I think the going rate at the moment is about 40p a mile (if it's business related), though I don't know if it varies depending on the type of car.
  
  40p a mile is based on a friend who does about 10,000 business miles a year and gets £4,000 back from the company from pre tax company income.
  
  I realise that if you're working from home it's going to be harder to rack up the miles, but there will probably still be lots of things that can go down as business.
  
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n7 Studios

13 years ago

I'll keep this short and sweet

- You need to tell HMRC within 3 months of starting self employment that you are self employed (VERY imporant)
- Make sure you're keeping good records of income and expenses. Use professional software (I can't recommend any as I use a bespoke system)
- The Tax Office are a good source of advice, even if its only as a starting point. Yes, even for asking what you can and cannot claim for expenses. So long as you're not taking the p*ss, you can claim reasonable expenses, such as mileage, depreciation, utilities, internet, phone line etc.
- You will need to submit annual self assessment returns (online deadline is 31st January for the previous financial year i.e. 31/01/2010 deadline to submit your 2008-2009 return)
- Keep at least 25% of income aside to cover tax, NI, student loan (if any) and other expenses. Don't be tempted to spend it now because you have a long time until you need to pay the tax.
- You can get an accountant if you feel this will put your mind at rest. Any good accountant worth their salt will be able to justify their cost by making you a good tax saving.

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Steve Garratt

13 years ago

Don't forget VAT. There is a minimum turnover threshold after which you must register for VAT. It involves some paperwork but it means that you can claim back VAT from every business purchase that has a VAT element.

A good accountant is a must.

Steve

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Kim Standerline

13 years ago

Can I also suggest you pay a portion of your tax online every month. It's what I do now after spending the last few years thinkin yeah I'll put it away (and never doing so). I got hit with a ginormous tax bill last Jan and July.

For what bit I could save by keeping my money in the bank and getting a miniscule amount of interest on it, I sleep better at night knowing I'm paying the IR every month, it's out of the way then and I can't be tempted to spend it.

I'd reiterate a good accountant is worth their weight in gold. I just bag all my receipts etc (in a shoe box) and hand them over to mine. She has access to my paypal and bank account so I don't have to worry about anything and I just get to sign my returns at the end of the year. Mine for the end of Jan were done back in October.

Worth every penny
Kim

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simmo28 13 years ago

Federation of Small Businesses is definetly a good move. theres tons of info on there on all aspects of home based business
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123me

13 years ago

Remember to let your house insurance company know you are working from home as it would be a nightmare if something happened to your house and they refused to pay out because you hadnt told them you were using a room as an office.

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Epicurus

13 years ago

Wow!! thanks guys

Everyone here has given some fantastic advice.

Thank you so much people :-)

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MarkAndrews IMCopywriting 13 years ago

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- Kevin McNally 13 years ago
  
  Hi
  
  I highly recommend planning for way more than 20% tax on your profits as even as a self employed sole trader you will have to pay 8% NI on your profits on top of your tax.
  
  Kim gave some good advice on paying your tax monthly if you can as you will find it is very easy to spend your "tax" money and at the end of the year you have a hefty bill.
  
  Also recommend speaking to an accountant but most of it is common sense, just track your income and expenses and work out profit etc...
  
  The inland revenue are there to help if you have any questions.
  
  all the best
  
  Thanks
  
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dsmpublishing

13 years ago

Hi guys

i set up home office by putting on a dvd on the tv placing a table with my laptop on it and getting stuck in whilst having the shawshank redemption on in the background.

Jokes aside you can pretty much claim for anything in the uk ive transferred my business over to portugal as from 1st jan but before that it was registered in the UK.

for example if you buy a laptop, printer, norton 360, printing paper etc its all tax deductable. If you are selling dvds on ebay your dvd player and tv are tax deductable as you need them to run your business.

If you go out for lunch it could be a working lunch

as for the household bills what you need to do is this:

count the amount of rooms in your house, then follow this with the number of rooms you use for your business and this is how much you can claim from your business.

So say if your bills are £1000 a month inc mortgage, weter, tv licence etc and you have 10 rooms inc wc and use 6 of them you can claim £600 a month towards your business.

Remember your car is taxable too as is all car expenses.

The best thing to do as far as tax and NI is concerned is to start an excel spreadsheet record all your earnings/outgoings and at the end of the month record how much you are in the red or black and once you hit the taxable threshold save 20% of your income in an ING (as they have a higher interest rate) and then once it hits 34,000 save 40% until the end of the tax year. If you are married and your wife isnt working put her on the business and then you have a higher threshold. Just like if this is your only income and by april its below £50,000 get your tax credit sorted out too.

kind regards

sam
X

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MarkAndrews IMCopywriting

13 years ago

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Rufus Steele

13 years ago

Without a shadow of a doubt - find an accountant you feel comfortable talking with and go sit with them and have them tell you what you can do for you to then decide what you do want to do!

With respect - everyone here is going to have different ideas based on their perception of employment / Tax laws and they are going to be wrong in some cases!

There are a number of different ways you can set up and organise your business and a good accountant will be able to help you uncover the best ways for you to work.

For example - I have been self employed since '95 as a Limited Company. Some people have suggested saving your tax payments monthly at the 20% and 40% rates - good advice.

However - I earn close to 150k p.a. and I do not pay tax at 40%. Speak to your accountant about Company Dividends and Corporation tax instead

- why pay the tax man more when you can legally pay him what he wants which is less?

You didn't mention what field of work or nature of business you're planning on running from home so a lot of this is conjecture anyway as different business types have different requirements.

I have a very simple yet devilishly effective excel spreadsheet that works out for me exactly how much I need to pay each month in salary, NI, Corp Tax, Dividend as well as Director loans, retainment and expenses. All I have to do is enter turnover for the month, expenses incurred and reclaimed and it does the rest - including payment to my company secretary - my wife!

Happy to send you a copy if you think it might help you.

But seriously - do not use the opinions of people on a forum to base your business decisions, accounting practice etc - PLEASE SPEAK TO A QUALIFIED ACCOUNTANT - (someone you can sue easily if it goes wrong!!

)

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MarkAndrews IMCopywriting

13 years ago

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Rufus Steele

13 years ago

Originally Posted by MarkAndrews IMCopywriting

Pardon me for saying the obvious, but why should a
forum such as this one be bad for offering advice etc?

These are all UK business people, running their own
businesses and companies, in other words in their right,
they are all professional in what they do.

Surely the best people to ask are the very people that
are working at the raw end of self employment, therefore
the advice given here is based on cold hard facts for the
most part from the people most in the know.

Obviously as regards the tax issue alone, a good
accountant is worth their weight in gold but this is
obvious anyway to anyone who has run a business
for any length of time.

You shouldn't just automatically discount the rest of
the advice as if everyone posting here is a bunch of
amateurs.

Myself, I've been in business for almost 28 years, in
that time I think I might have learn't a thing or two
about the in's and outs of being in business for myself.
The same can obviously be applied to everyone else
here, they all have a great deal of personal insight
regarding running one's own business or company.

An odd remark above if ever I saw one.

Morning Mark,

Based on Epicurus's first comment - I've just recently gone freelance working from my home office and want to get the right information about getting set up - then you cannot assume he knows anything about running or setting up a business. I'm sure he has his head screwed on well and understands many aspects but from a point of view of offering advice - you can't assume anything.

If this were a Tax Accountants / Business Start Up forum - then it would be a safer bet than an IM forum for accurate advice. However much people on here run their own business - they can and will still make erroneous comments or suggestions, either through ignorance or mis comprehension of facts they have learnt or heard.

Like you Mark, I have run a business for many years successfully and know quite a bit about it - but would still not suggest to anyone who is starting out any other advice than to use the services of someone whose training, experience and daily job focuses on that skill.

There are too many variables that rotate around exactly what entity the business is set up as to consider before applying the ins and outs. The excellent comment from Alexa's dad demonstrates that nothing is clear cut and should be discussed by those qualified to advise.

I am sure that all the people offering advice and support here are admirable in their daily dealings - but they pertain to THEIR daily dealings and not Epicurus's. We don't even know in what line he wishes to freelance - if it is anything to do with Security for instance then he will have to register his trading status in a VERY specific manner to be able to acredit himself with the correct levels of security clearance in order to trade effectively. This will affect greatly what he can and cannot do both in company structure and subsequently, tax.

But to cut a long post short (too late :rolleyes

I didn't say that this forum was bad for offering advice Mark. If you reread my last comment, what I said was do not use the opinions offered to base business or accounting decisions on - speak to a qualified accountant / business advisor.

This forum has and always will be a source of inspiration, information and support like no other on the Net. Wouldn't diss it or the people on it, there are some pukka people on here.

But for something that is life affecting - due dilligence and care should be taken.

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Alexa Smith

Banned 13 years ago

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MarkAndrews IMCopywriting

13 years ago

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Kim Standerline

13 years ago

Yeah I don't bother claiming those expenses either

Cheers
Kim

Originally Posted by MarkAndrews IMCopywriting

Started the very first day I left school Alexa, went
straight into business working for myself.

Good point your father raised. One reason I don't
claim those expenses.

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Susan Hope

13 years ago

Originally Posted by Alexa Smith

You might want to be very careful over the decision about whether or not to claim a proportion of your domestic bills as business expenses for income tax purposes.

If you live in a 5-room house, for example (kitchens and bathrooms don't count), you can claim 20% of all domestic bills as tax-deductible, and much more for the phone, but note that if you do so, there can be adverse consequences when you eventually sell the house: if it hasn't been used solely as a residence (which you can't deny, if you've made these claims), it won't qualify for the full capital gains tax exemption on a "residence", and this can suddenly sting you for a lot of money in future.

Many people who have an office at home choose not to claim a proportion of their domestic bills, for this reason.

So does anyone have information on this issue if you don't own your own home and you rent your home but do pay all the utility bills, council tax, telephone/broadband, the montlhy rental of the property, etc? (or in my case, my husband pays those - he was recently made redundant so is not working now).

Sue

PS I find this thread VERY useful in giving direction on what to do and when but of course, I will get proper advise ultimately from the tax office/an accountant, so thanks to all for contributing.

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Alexa Smith

Banned 13 years ago

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Susan Hope

13 years ago

Originally Posted by Alexa Smith

If you're renting, I know of no reason why you shouldn't claim as much as you legitimately can (including a proportion of the rent) as tax-deductible. To the best of my (very limited!) knowledge, the only adverse future consequence that can arise relates to capital gains tax liability on the future sale of the property, if you own it.

Thanks Alexa

I will add this to the list to discuss when I go and see a professional.

Thanks to everyone for all the advise and relating your own circumstances, it really helps in order to know "what questions to ask".

"Rufus Steele" I think, among other things, Mark was pointing out that it has already been stated by most people sharing their experience in this thread that we should take these things into consideration BUT we should always seek professional advise and so what you said, really was not needed at that point and the way in which you said it came across as slightly insulting both to those giving their experience and those reading, like myself (in that you assume we would not do our own due diligence regarding this subject and that we would follow blindly like sheep) - now perhaps you did not mean it to come across that way, however, it did, at least to Mark and to me, again however, I also thank you for your advise/experience given in this thread.

Thanks all
Sue

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Rufus Steele

13 years ago

Sue, (et all)

It certainly was not my intent to be insulting to anyone.

In my experience, not doing due dilligence is one of the major reasons so many people get to the end of year one to be faced by a crippling tax bill and other liabilities of which they were unaware - having based their decisions on advice from 'friends'.

Thank you for pointing that out and I shall gracefully withdraw and re-evaluate how I write.

Regards

Rufus

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Susan Hope

13 years ago

Originally Posted by Rufus Steele

Sue, (et all)

It certainly was not my intent to be insulting to anyone.

In my experience, not doing due dilligence is one of the major reasons so many people get to the end of year one to be faced by a crippling tax bill and other liabilities of which they were unaware - having based their decisions on advice from 'friends'.

Thank you for pointing that out and I shall gracefully withdraw and re-evaluate how I write.

Regards

Rufus

No need to withdraw, your contribution is also valuable but as you say, perhaps sometimes it is worth re-reading what you just typed just to evaluate how it might come across, in forums, lots of posts can come across in multiple ways to multiple readers

Thanks again
Sue

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maxglobal 13 years ago

Hi,

Home office?....Buy laptop (and extra large notepad) place on kitchen table.......Go!.
MMMmmm that pesky tax Etc.

I can recommend a company that will help with start up and it's FREE!
(new government directive or something)
This particular business link is called Blue Orchid and they have branches in Manchester tel. 0161 485 4949 and Liverpool 0151 284 7728.
If you are out of there 'area' they may be able to put you in contact with a relevant link near you.
There are free workshops to attend covering all aspects of self employment with good information,these gave me the confidence to get started.

Regards and good luck for 2010,

Phil.
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Steve Garratt

13 years ago

Originally Posted by Alexa Smith

You might want to be very careful over the decision about whether or not to claim a proportion of your domestic bills as business expenses for income tax purposes.

If you live in a 5-room house, for example (kitchens and bathrooms don't count), you can claim 20% of all domestic bills as tax-deductible, and much more for the phone, but note that if you do so, there can be adverse consequences when you eventually sell the house: if it hasn't been used solely as a residence (which you can't deny, if you've made these claims), it won't qualify for the full capital gains tax exemption on a "residence", and this can suddenly sting you for a lot of money in future.

Many people who have an office at home choose not to claim a proportion of their domestic bills, for this reason.

(This information is from my father, who doesn't live in the UK, but is a "financial man", is British and will know what he's talking about).

Ooh, look who's showing his age ...

I don't claim a proportion of anything. Instead I estimate exactly what I use over and above my residential expenses. I also underestimate and don't include anything for Council tax, mortgage, buildings maintenance etc. The sums are so small that my accountantant advises me that there should be no problems with CGT.

This subject becomes very emotive when you look at what our MP's have been doing. Claiming 100% of the upkeep of a house as expenses from the taxpayer (me) then selling it with zero CGT liability. They all claim that they have "done nothing wrong".

I am not an accountant so don't take my word for it.

Steve

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Gee S

13 years ago

Originally Posted by Rufus Steele

However - I earn close to 150k p.a. and I do not pay tax at 40%. Speak to your accountant about Company Dividends and Corporation tax instead

- why pay the tax man more when you can legally pay him what he wants which is less?

When earning a decent amount this is definitely the way to go. But I believe you need to be at least a Limited company in order to receive dividends. I may be wrong though. It's worth checking out, and also ensure you've got a good accountant, they'll be worth it in the long run.

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Steve Garratt 13 years ago

Originally Posted by dsmpublishing

Hi guys
If you go out for lunch it could be a working lunch

Carefull with this one. It's only allowable as subsistance if you are working away from your normal base. The HMRC argument is that you have to eat anyway lol.

The other one to be carefull of is entertaining expenses. If you take a client out to dinner it is only tax deductable if the client is from overseas. I have no idea what the rational for this one is.

But I am not an accountant so I could be talking rubbish.

Steve
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ms66

13 years ago

This is a good post, as I hadnt realised you can claim for electric, heating etc. I thought it was only for computers and the like.

Thanks

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Steve Peters Benn

13 years ago

Alex made a good point about Capital Gains and expenses. My only real advice is get an office when you can, and go Limited.

Thanks

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tyson4

13 years ago

Don't forget about paying your NI contributions as well... oh and get a good accountant with qualifications (get a chartered accountant... like me!!)

Thanks

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Zed Shah

13 years ago

I set up an LLP which is without doubt the best way to set up your finances in the UK.

I used an experienced and established accountancy firm based in Kent called a4g solutions, their contact number is 01474-853-856 and website stephen-hill & A4G Accounting - Helping to Improve and Grow your Business and Personal Finances. Speak to a guy called 'Wes' and mention my name 'Zed' (Zahid Shah) ...dont worry i dont get any commission lol

They deal with a lot of big name British internet marketers and are vary savvy in the IM side of things, so no need to spend hours explaining what adsense is, etc.

He'll explain in more detail how you can set up your finances and save a shed load in taxes.

Hope i've helped

Peace Z

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