JFG

Spring Statement 2025

• In her first Budget in October 2024, Rachel Reeves promised that there would only be one ‘fiscal event’ each year – she would not make significant tax changes more frequently. More information here

What is the deadline for filing self-assessment tax returns?

• The deadline for filing online self-assessment tax returns is January 31st following the end of the tax year. Paper tax returns have an earlier deadline of October 31st. More information here

How do I register for VAT, and when do I need to do it?

• You must register for VAT if your business’s taxable turnover exceeds £90,000 within a 12-month period or if you expect it to exceed this limit. Registration can be done online via HMRC. More information here

What expenses can I claim as a sole trader or self-employed person?

• You can claim allowable business expenses to reduce your taxable profit, including office costs, travel costs, and certain utility bills. More information here

What are the corporation tax rates for UK businesses?

• The corporation tax rate for the financial year 2023-2024 is set at 19% for businesses earning up to £50,000. For businesses earning more than £50,000, corporation tax is calculated at a marginal rate. However, rates may vary depending on government changes.More information here

What are the requirements for maintaining payroll for employees?

• If you employ staff, you need to set up a payroll system to report employee payments and deductions to HMRC. This must be done before the first payday. More information here

How do I register as self-employed with HMRC?

• You must register as self-employed with HMRC to report your income and file self-assessment tax returns. More information here

What is Making Tax Digital (MTD), and does it apply to my business?

• Making Tax Digital (MTD) is a government initiative aimed at simplifying tax processes by requiring businesses to maintain digital records and submit tax returns electronically. More information here

What are the VAT rates in the UK?

• The standard VAT rate is 20%, with a reduced rate of 5% for certain goods and services, and some items are zero-rated. More information here

How can I register my business as a limited company in the UK?

• You can register your business as a limited company through Companies House. You’ll need to choose a company name, appoint directors, and submit the relevant paperwork. More information here

What is the difference between sole traders and limited companies for tax purposes?

• Sole traders pay income tax on profits, while limited companies pay corporation tax. There are various tax implications and legal responsibilities that differ between the two structures. More information here

How do I know if I need to submit a capital gains tax return?

• Capital Gains Tax (CGT) is due when you dispose of assets like property or shares that have increased in value. If the profit exceeds the tax-free allowance, you’ll need to file a return. More information here

What are the deadlines for paying VAT?

• VAT payment deadlines depend on your VAT accounting scheme, but typically VAT returns must be submitted and payments made within one month and seven days of the VAT period end. More information here

How can I reclaim VAT on business expenses?

• You can reclaim VAT on goods and services purchased for business use if your business is VAT-registered and the purchases meet HMRC’s criteria. More information here

What is Auto Enrolment, and how does it affect my business?

• Auto Enrolment is the process by which employers must automatically enrol eligible employees into a workplace pension scheme and make contributions. More information here