You must register your business for VAT if your turnover has reached the prevailing threshold (£85,000 for the 2020/21 tax year) within the previous 12 months, or if you expect to breach the threshold within the next 30 days. As a VAT-registered business, you will be effectively colle...
The legal status of your business—whether company, limited liability partnership, or sole owner/trader—has implications for your tax situation and how your income is assessed. It also has an effect on the liability you face if you are sued or challenged in any way, or your business goes b...
If you earn over £50,000 as asole traderor fromrental income as a landlord, you’ll need to start following the rules ofMaking Tax Digital for Income Tax(also known as Making Tax Digital for Income Tax Self Assessment, or MTD for Income Tax, or MTD for ITSA) from April 2026. If ...
As a business owner, no matter what structure you adopt will need to know about the taxes that apply to you. It’s essential that you understand the tax rates and information for the self-employed. Here is all the important tax information that you need to know as a sole trader. Persona...
GST registration is required for sole proprietorships if their annual turnover exceeds the threshold. Can sole proprietorship have a PAN card? Yes, a sole proprietorship can have a PAN card, which is necessary for income tax purposes and financial transactions. ...
Sole traders in the UK submit a Self-Assessment tax return every year and pay tax on all of their profits above the tax-free threshold for that year. Sole traders in the US must fill out Form 1040 and Schedule C on their tax returns every year. ...
Sole traders in Australia submit a Self-Assessment tax returns every year and pay tax on all of their profits above the tax-free threshold for that year. How do I switch from sole proprietorship to a limited company? If you’re currently operating as a sole trader and want to step things...