Empowering
Freelancers & Self-Employed Professionals with Expert Accounting

Tailor-made Accounting Solutions to Simplify Your Financial Life.

Support when you need it, whatever your business

No matter what type of business you run or where your income comes from, we can help. From IR35 contract advice to sole trader tax rebate assistance, we can help you deal with tricky self-employment tax returns and generally take the hassle out of your accounting – saving as much as possible on your tax bill at the end of the year.

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Construction

CIS Contractors (Tax Return/Rebate), Architects, Surveyors, Engineers, etc.

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Digital Freelance

Designers, Copywriters, Programmers, Marketers, Consultants, Content Creators, etc.

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Logistics & Transport

Delivery drivers,
Utilities, Storage, etc.

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Property

Landlords, Airbnb hosts,
Sales Agents, etc.

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Health Care

Therapists, Coaches, Carers, Psychologists, Wellness Professionals, etc.

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Others

Educational, Financial Activities,
Retail, Agriculture , Forestry, etc.

Why Choose TaxAce for your
self-employment business?

Dedicated tax adviser

Taking care of your tax needs

Clear pricing

No hidden fees or surprise bills

Self-employed savvy

60+ industry experts, ready to help

No need to come to our office

Everything is done online via phone and email

Contabilitate UK - Our advantages

Testimonials

How it works?

1

Get in touch with us

  • Fill out the contact form and we will get back to you as soon as possible.
  • We’re available to help you 24/7.

2

Provide the documents

  • We’ll need some documents from you to get started.
  • As soon as you send them, we start the work!

3

Job done!

  • We’ll smoothly deliver your work – you can chat with us at any time.
  • Check our work, sign it off and pay.

FAQ

In the UK, you must maintain complete records of your financial transactions as a self-employed person. The records include documentation about your income and expenses, such as receipts, bills, bank statements, etc. You can use accounting software to keep these documents in check. However, it’s crucial to maintain track of the following while keeping records:

  • all of your income, including cash and online payments
  • all of your business expenses
  • records of the VAT you have charged and paid
  • information on your employees, if applicable.

It will be simpler for you to prepare your tax return, figure out your taxable income, and claim any allowable expenses if you keep the correct records.

In the United Kingdom, self-employed people must pay two types of taxes: income tax and national insurance contributions (NICs).

Income tax is calculated on taxable income, which is your total income minus any allowable expenses. Every year, you must file a self-assessment tax return to report your taxable income and pay any Income Tax you owe.

You must pay National Insurance Contributions (NICs) on your earnings as a self-employed person. For example, if your profits exceed £6,365 per year, you must pay Class 2 NICs and Class 4 NICs if your earnings exceed £9,568 per year.

Furthermore, if you are VAT-registered, you must submit regular VAT returns.

The deadline for filing a self-assessment tax return in the United Kingdom is 31 January. If you file a paper return, it must be received by HMRC before 31 October. It is critical to know the tax payment deadlines, usually 31 January and 31 July. Late payments may incur interest charges as well as penalty fines.

Managing cash flow can be difficult for self-employed people because their income is irregular or unpredictable. Here are some suggestions for managing cash flow:

  • Maintain accurate financial records and monitor your cash flow regularly.
  • Prepare for slow periods by having enough reserves to cover expenses.
  • Set aside money for taxes and make sure you make regular payments to avoid going into debt.
  • Consider invoicing clients more frequently or requesting upfront payments to ensure a consistent income stream.
  • Finally, consider opening a separate business account to help you manage your finances and track your spending.

As a self-employed individual in the UK, your taxable income is calculated by deducting allowable expenses from your total income. For example, business-related travel, equipment, and office expenses are all allowable expenses. Therefore, keeping accurate records of your expenses is critical because you’ll need to provide proof of these costs when filing your tax return.

Add your total income and deduct any allowable expenses to determine your taxable income. The result is your taxable income, which is used to calculate Income Tax and National Insurance Contributions.

Contabilitate UK - Senior Tax Assistant - Alina Costreie

Let's talk about your tax return!

Like what you see? Get in touch today to see how we can help your self-employment business save time and stress less.