Zarah ChoudharyAs Small Business Saturday approaches, HM Revenue and Customs (HMRC) has launched an interactive online tool and clearer guidance for people working for themselves and individuals considering self-employment.
Aimed at supporting new and existing sole traders to better understand their responsibilities, the tool explains the records they may need to keep, taxes that may apply to their business, and includes other useful information, for example how to pay a tax bill.
Sole traders are classed as self-employed for tax purposes, have responsibility for any debts to their business and have some accounting responsibility.
There are several HMRC interactive tools available, including one newly launched to help businesses estimate what VAT registration may mean for them.
The VAT Registration Estimator was developed after feedback from small businesses suggested an online tool would be helpful to show when their turnover could require businesses to register for VAT and its effect on profits.
Marc Gill, HMRC director of individuals and small business compliance, said: “At HMRC, we know small businesses are vital to our economy, and we want to help you get things right from the start.
“It can feel overwhelming when you’re a new business owner.
“That’s why we’ve created user-friendly, anonymised tools that give you the knowledge to make confident business decisions.
“We are committed to continue building trust with the small business community.
“Whether you’re just starting out or growing your business, we’re here with clear, reliable guidance to help your business succeed.”
