Here’s my list which I do think are excellent reasons why you need to make use of an accountant for all your business accounting needs:
1. An qualified and experienced accountant knows what he/she’s doing and understands the accounting framework, concepts and concepts that are necessary to preparing your annual business accounts.
2. A cpa have a good understanding of tax and will also be best placed to counsel you on which business expenses and tax allowances may be used to lower your business goverment tax bill.
3. This good tax understanding may also be used to counsel you around the most tax efficient method to pay yourself out of your business although minimising your individual tax and national insurance bill.
4. A cpa knows when returns result from be produced to Companies House and also to HMRC and can inform you when tax or VAT payments are due. This should help you avoid having to pay fines to Companies House or HMRC.
5. A cpa knows what VAT payment schemes may be used by small companies and can let you know about how these schemes may be used to your benefit and help you save money. The ” Predetermined Fee Plan for Small Companies ” is really a particular illustration of a VAT payment plan that can help you save money.
6. A cpa may take proper care of the executive work with your company, for example maintaining a PAYE system and calculating tax and national insurance due on monthly salaries and wages. This can free your time and effort to pay attention to your key business activities, in the end for this reason you joined into business.
7. A cpa can be sure that your financial records are dependable and free of errors or omissions, leading to correct and accurate tax calculations and accurate year-finish accounts.
8. A cpa could work along with you and HMRC in the event you face a tax analysis. A cpa is definitely best placed to correspond using the tax inspector and explain the accounting management of transactions in your accounts and tax statements.
9. A cpa can let you know of the easiest method to structure your company, whether this is actually the sole trader model or setting you as a restricted company, as well as in the worst situation scenario stop you from losing your home in case of business failure (insolvency).
10. A cpa can make sure that you keep proper accounting records and counsel you about how lengthy to help keep this info for. This could will make sure that you avoid having to pay fines and penalties.