Limited companies MUST have a separate bank account opened in the Company’s name.
However, for self-employed individuals, it is not mandatory to have a business bank account.
It is, however, of benefit to a business owner, to be able to track your income and expenses. With the increased requirement for keeping digital records, the use of a bank account will allow you to track your records and keep everything in one place.
With the imminent implementation of Making tax digital for individuals’ self-assessment (MTDITSA), due to be introduced from April 2026 having a separate business bank account will get you one step closer, so we encourage getting started now.
How do I pay my VAT bill?james2023-07-05T15:03:18+01:00
Most accountants will offer a free initial consultation. We do. So, take advantage of this. It will most likely save you time and money in the long run, and you may walk away with additional ideas you didn’t already have.
Do I have to complete a tax return?james2023-07-05T12:09:48+01:00
Generally, individuals who work for an employer pay their tax through pay as you earn (PAYE). Occasionally, for the more highly paid individuals, with income over £100,000, HMRC may request that they complete a self-assessment, as a means of a catch-all for tax at the end of each tax year.
Where individuals have additional sources of income, outside of PAYE, they may be required to complete a self-assessment if one or more of the following apply to you:
You are working for yourself as a self-employed individual.
You run your business together with others as a share in. a partnership.
You are a trustee or the executor of an estate, on behalf of your beneficiary.
You receive dividends from a company in excess of £1,000.
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