Different UK Accounting Firms
Self Assessment tax is another short term for self-assessment tax payments. You could also call it an income tax. Self assessment is basically a calculation or estimation based on your income generated over the year and subsequently filing a tax payment against that figure. There are many different UK accounting firms that will assist you with self-assessment. Many accounting firms will even offer tax advice services and financial management services in the UK.
Calculating your Self-assessment
An important factor that would take into consideration when calculating your self-assessment amount is the value of your assets. How much do you earn every month? If you have assets exceeding your estimated income, the excess is filed as tax at source. On the other hand, if your estimated income pertains to less than your asset value, then you would take the higher amount as your tax at source. Your tax adviser can help you figure out how much would take in your current pay from your job, what tax would be applicable to you and from where can you defer your tax payments until the full year has passed.
Self-assessment Tax Return
When preparing your self-assessment tax return, you would have to consider two important factors, namely, how much your salary is and how much tax you need to file. Your tax adviser can calculate these values for you based on your tax year tax return, as well as your personal circumstances. Some self-assessment tax schemes include an allowance for dependent expenses. While this scheme may not be available in all UK tax years, some accountants can still help you maximize your tax savings by giving you advice about how to best use your allowances.
Self-assessment Tax Schemes
Most self-assessment tax schemes limit the amount of income that can be taxed. In most cases, this limit is fixed and cannot be increased even for the most careful tax planners. As such, you must be aware of what is included and what is not in your tax liability. You may need to talk to your tax advisor about whether an exception could be made for any part of your income. Your UK tax advisor should be able to give you more detailed advice on your tax liability.
UK Tax Accountant
After you have calculated your tax liability, you will still have a number of deductions to take into consideration before filing your UK tax papers. Your UK tax accountant would help you with these. One of these deductions could be for paying for childcare for the disabled. Depending on your accountant's knowledge of UK tax law, he or she might also be able to advise you on which types of deductions are applicable to you. For example, you could claim up to 15% of the eligible costs for using suitable equipment for hobbies.
Self-assessment Tax Refund
If you find yourself in a situation where you owe a large amount of income tax or have other tax concerns, your self-assessment tax return is the best way to find out what you owe and to find out what tax rebates you are eligible to receive. For most people, self-assessment tax refund is the easiest part of the process. The process begins with a request for copies of your financial records. After reviewing your records and determining the likely tax liabilities, your London tax specialist can begin working with you on your tax refund preparation.
Self-assessment and UK Tax Issues
Self-employed individuals in UK often pay their own tax. There are many accountants in the UK offering their services as self-employed tax advisors. Many of these accountants also offer their services as personal assistants, helping their clients with self-assessment and UK tax issues. Because of this variety of options, it is possible to come across several different types of accountants who may be able to serve your purposes as a self-employed individual.
General VAT Authority
If you choose to work with a tax consultant in London, you will want to make sure that they have been licensed and registered with the GVA (General VAT Authority). They should also be familiar with the UK tax law. The GVA is the body that governs tax in the UK. In addition to being licensed by the GVA, a self-assessment accountant must obtain a broker's license from the HMRC (HM Revenue & Customs). This license proves that the tax specialist has completed and submitted the self-assessment tax return to the appropriate HMRC authority. If your tax inquiry requires the assistance of an HMRC broker, your broker must also be licensed through the HMRC.