This channel is for business owners, or those that want to be!
On the channel we (usually!) release 2 videos a week, on a Sunday evening (and a Thursday if we've got an extra one), which are a mix of tax & business topics.
Dan Heelan who presents most of the videos, heads up a firm of accountants in Hampshire UK, who help business owners on their journey.
The tax law in the UK is 22,000 pages and growing, so we help are here to you navigate it. You shouldn't have to pay more tax just because you don't have enough knowledge. Unfortunately we don't get taught this in school.
If this sounds like knowledge you'd like, and something that could help grow your business, then make sure to join me by subscribing!
Note: we tend to reply to all comments at the weekend
If you have properties is there a tax free allowance for the £1000,no the tax return it said if you claim expenses then you can’t claim the allowance is this right?
Hi Dan, I am looking to buy a used van which will be used solely for my carpentry business with no personal use. However, I can't find a van with all of the features I want so plan to add them at a later date. Are improvements such as a reversing camera and different alloy wheels tax deductible? Thanks Andy
My case is a bit unusual, i work an hour and a halfs drive from where i live, i work 6 days a week and long hours so i prefer to stay overnight next to the place i work and only go home the night before my day off. I would buy a van to make into a bit of a camper, but also it would be for my work gear and hauling around the odd bits and bobs for work. I would keep the van/camper for at least 3 years and look to change it with the same kind of thing. Do you think i could still claim for the cost of the van, which would be around 15k. Thank you, i really found this video informative, but i cant find any details on my scenario anywhere. Thanks!!
Hi im self employed courier driver, but i lease the van from the company i work for at a cost of £250 per week. Can i claim that against my taxes for the year?
From my self assessment can I declare investment in Isa as expenses ? I want to declare 20.000£ of expenses in ISA to avoid to pay extra taxes. Is it possible? Let me know please ! ❤
Thanks for the video, very informative. Someone told me you can use the advisory fuel rates if you’re an employee that uses a company car (they’re much lower than the £0.45/mile allowance), but the benefit of that is you can deduct actual cost for vehicle maintenance, insurance etc. Is that how it works?
Great stuff, I always get a bit confused when doing my self-assessment as I'm never sure to include the mileage claims as income and then class them as an expense (so I don't pay personal tax on them). I actually leave them off completely and have done for a few years. I wonder if they'd pull me up on it?
Very useful video. I’m a director of my LTD company, I’m looking to get a 48K PHEV business lease. BIK is 8%. Currently I have my personal diesel vehicle on lease and claim 45p a mile. This vehicle is due to go back soon. If I get a company car, I know I have BIK & Class 1A NI. How do I claim mileage? It’s not 45p a mile I assume? I’m not VAT registered. Essentially what running costs can I claim? Wanted to do some figures myself and see if I’m better off. Would appreciate some advice.
If you go full company vehicle with BIK company pays the running costs. You wouldn’t normally do mileage, certainly not the full 45p rate. You’d either fuel it through company (BiK issues) or you’d pay yourself the ‘AAmP rates’ (google this for rates) for the mileage.
Amazing content. As usual. Can. You do a video on investing excess profits into stocks? Is the best to open a separate company and loan the company cash from the original?
Hi, I've got a question For example, If a company makes £20,000 a year with £5000 worth of expenses, And I have lets say ~100 invoices a month generated to customers by WHMCS, and I save them all + invoices of the expenses. Can I fill taxes and do all that by myself? Do I need a book-keeping service or an accountant? Thanks for the video.
You never *need* an accountant as a small business, but many owners find filing a limited company *accounts* + corp tax return a challenge. As a result most owners of a limited company have one.
I have a question, I trade indices and FX it's currently a self employed role and I have a big payout coming after 3 years of trial and error. My question is that after I file for self assessment as a sole trader due to it being above the £1000 allowance should I report money lost to brokers and prop firm fee expenses from previous years, is there any purpose in this? Or is it only relevant for the current tax year what my expenses were?
It’s a difficult one to answer in a comment, as so much depends on when you starting ‘trading’ officially. As it maybe possible to bring in previous ‘pre trade’ expenses on day 1 of the ‘trade’ on the first tax return. Or it might not, depends on the facts. Sorry not a specific answer but so much depends on the facts in play.
@@HeelanAssociates Of course I understand it's cirumstandtoinal, thank you for taking your time to reply though, I have been enjoying watching your videos.
Hi Dan, I hope you are well? I really hope you pick up this message and reply. I have been working on a business that I am launching very soon since January 2024, I set up a new ltd company in May 2024 and I am hoping to be trading by July/August however I am working every day to get to that point. I am going to have a director salary to my self and I will have 1 employee starting in JulyAug. The company already owes me a substantial amount of money due to the set up costs and this will also increase by July/Aug. I activated my FreeAgent software today and got everything in order, I want to set up payroll my self but theres a few things I don’t understand and I was hoping you would kindly help? When can I start my directors salary from May? Or would it be June? Also the company has no funds coming in so there are no funds to pay out however I wanted my director salary to be logged from as early as I am allowed to do so, would I be able to register for PAYE, then set up Pay role for my self from either May or June, submit everything to PAYE and send the RTI as the salary has been paid but never actually transfer the money out of the business account? So basically be paid on paper but only withdraw the funds when the company is in a better position. I am getting mixed information about this and I can’t find a definitive answer! Also have you any idea how this would work on freeagent, this is all new territory to me, if the PAYE RTI is submitted but the company does not have the funds to pay me, will this automatically be moved to the director loan account as money the company owes me?? One last thing I wanted to ask you, if I am paid £12,500 a director salary annually and I have 1 employee at £12,500, I am right in my understanding that the company would be entitled to employment allowance which would effectively give the company a zero national insurance bill? Sorry for the long message 🫣 and many questions! I would really appreciate it if you could respond. Thank you in advance
Hi, i am about to register as a sole trader. What is the amount that is taxable? Over 12k for the year. Is the 12k profits or inclusive of drawings. Thank you, your videos are very helpful. I tried to see if someone asked the question.
It’s more a matter of fact. You are either employed and they tax you by the PAYe rules or you are self employed and you sort your tax out (unless you are the construction industry where they will likely deduct from you).
Hi. Can I choose a fixed percentage of the van's costs (including initial purchase of the van) and deduct against tax? And if I do, can I ammend it each year if required? Thanks, I love your videos!
Do you legally have to have a Company Bank account?? For example if your a Market trader operating as a corporation and you only dealt in Cash transactions, do you have to put the money in a bank account??
Found your post interesting to watch. I can't wait to see your new videos soon. Good Luck with the upcoming update. This RU-vid channel is very informative and effective.
Thank you for all the useful information, they're insightful and helpful for building confidence and understanding what I need to do when registering and starting a coy.
I did a self assessment first time tonight...didn't have all payslips so had to give just gross total on every job I did with 4 companies over a period of January 20th - June 10th.. them payslips need to be collected so you can put in the tax deductions... Hopefully mine is accepted and the late penalty I have to pay..will they ring me if they see discrepancies ?? When will they ask for my receipts for my allowable expenditure aswell ? I hope I get an advisor ring me from HMRC..wil they do this ? Thank you
The expenses go on the tax return in self employment pages. They will only ask for receipts if they wish to inspect your tax return. To talk to HMRC you will usually need to ring then, or go on webchat. They will normally point you to online guidance. You really do need to enter the tax deducted on the return otherwise you will end up with a tax bill that likely wouldn't be due.
Hi i am in the process of purchasing a ltd company for a holiday let, basically the company owns the apartment (asset) and owes 120k on an existing bank loan. The current director loaned the company 150k 7 years ago to purchase the asset and furnish it. This still shows on the micro accounts. My question is, if i become director would he have any legal claim to request the 150k loan? He assures me he/ we will have a board meeting and record minutes to confirm the company is no longer liable to repay and this can be removed from the next set of accounts. Does this sound correct?
That is weird, thats non of my employer's business. I do whatever I want out of my working hours. My current manager even knew of my business in an interview and wasn't bothered by it at all. No one should as long as that doesn't affect other job
I agree we’ve got plenty of our team with other things going on, but it’s a very common concern people have. I find most of the time though it’s when they are looking to quit soon and go freelance, but don’t want to upset their employer in advance.
Bookkeeping and tax preparations should be done by different people. Business owners who do not have a background in accounting, please stay OUT of the record keeping.
@@HeelanAssociates Not sure where you have worked or studied accounting, but I have in accounting for over 20 yrs and never seen these two separate duties carried out by one person or over done sufficiently well by one person. The tax laws in the US change constantly and keeping up the changing laws is a full time job by itself.
Certainly will update. Currently no news other than it’s progressing. Election has put spanner in pushing MPs to review. This is out there tho petition.parliament.uk/petitions/655656
It's been 45p per mile for over 20 years, fuel and insurance costs have risen exponentially in that time. Why has this not been increased to reflect actual current costs?
I withdrew £400 from my business account as a loan. I Created the account as you demonstrated under liabilities in the software. Now my balance sheet shows MINUS £400 under liabilities labelled as director loan. Have I done it correctly?
@@HeelanAssociates as I was going through the process, it says ‘this loan cannot be used for business purposes’ with it being a work van therefore a business.
as a computing student thats about to enter this business as a it technician what tasks should be expecting to take as someone who is seting a payroll business up what tasks am i supposed to do im abit confused and usure
@@HeelanAssociates so my question is what should I expect as a it technician working for a payroll business as one of my close friends mutual friends are setting a payroll business up and I was wondering what type of tasks would I need to face and what would I need to know as a it/computing technician working in a payroll business
Hi Dan On a profit and loss account for abridged accounts or on total exemption of full accounts Does the profit and loss/retained earnings account show the amount before or after dividends are taken?
Normally the retained earnings on a balance sheet are shown at the position at the date, so after dividends. If you have access to a profit and loss they won’t usually show dividends. Sometimes you might also get a changes in equity ‘grid’ that shows you exactly the dividends taken.
