10 Reasons to Use an Accountant

Here is my list which I do think are all excellent reasons why you ought to make use of an accountant for all of your business accounting needs:

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one. An experienced & qualified accountant knows what he/she is doing & understands the accounting framework, ideas & principles which are essential to preparing your annual business accounts.

two. An accountant will have a nice knowledge of tax & will be best placed to advise you on what business expenses & tax allowances can be used to reduce your business tax bill.

three. This nice tax knowledge may even be used to advise you on the most tax efficient way to pay yourself from your business whilst minimising your personal income tax & national insurance bill.

four. An accountant knows when returns are due to be made to Companies House & to HMRC & will notify you when tax or VAT payments are due. This will help you avoid paying fines to Companies House or HMRC.

five. An accountant will know what VAT payment schemes can be used by small businesses & can advise you on how these schemes can be used to your advantage & save you funds. The " Flat Rate Process for Small Businesses " is a specific example of a VAT payment process that can save you funds.

Six. An accountant can take care of the administrative work for your business, such as maintaining a PAYE process & calculating income tax & national insurance due on every month salaries & wages. This will free your time to focus on your key business activities, after all this is why you entered in to business.

Seven. An accountant can make positive your financial records are reliable & free from errors or omissions, leading to correct & correct tax calculations & correct year-end accounts.

Eight. An accountant can advise you of the best way to structure your business, whether this is the sole trader model or setting you up as a limited company, & in the worst case scenario prevent you from losing your house in the event of business failure (insolvency).

Nine. An accountant can work with you & HMRC ought to you face a tax inquiry. An accountant is always best placed to correspond with the tax inspector & portray the accounting treatment of transactions within your accounts & tax returns.

ten. An accountant can make positive that you keep proper accounting records & advise you on how long to keep these records for. This can will make positive that you avoid paying fines & penalties.