Tag Archives: Tax Registration

Selling on eBay? You may need an accountant.

HMRC target ebay sellers Her Majesty’s Revenue and Customs (HMRC) have recently launched a new e-marketplaces campaign targeting people trading on sites such as eBay and Facebook Marketplace. While many online marketplaces including eBay and Amazon will sort out most of the VAT due on sales, HMRC are concerned that some VAT, National Insurance and other taxes may be going unpaid. They are giving people until 14th June 2012 to make a disclosure of their online earnings and until 14th September 2012 to pay up.

Not everyone who sells stuff online needs to worry though. To be liable to pay tax on your online earnings you need to be classed by HMRC as ‘trading’. What this boils down to is whether you are actively seeking to make a profit online. HMRC are not interested in you if you are selling a few personal possessions every once in a while. They are interested in people who are buying products in order to sell them on for a profit, or in people who are offering services for a profit. For those who aren’t sure if they can be classed as ‘trading’ HMRC have created this helpful video:

The current HMRC e-marketplaces campaign is intended as a bit of an amnesty. You can declare any earnings from the last six years and get yourself paid up to date. HMRC point out that if you make a full voluntary disclosure they will not normally prosecute you. The threat being that if you do not declare your online earnings by 14th June HMRC will start to prosecute people, and they can look into your tax affairs for the past 20 years.

If you think you might need to make a disclosure HMRC recommend that you get your business records in order and look for some independent professional advice to help put your case. Why not get in touch with our Legal and Accountancy Services team and get the ball rolling?

The Office of Tax Simplification – “Britain Is Open For Business”


News from the Government shows the upcoming creation of a new body known as The Office of Tax Simplification. Just like the body’s title, the idea is simplifying things for business.

A number of new measures have been introduced lately which make it clear that the current Government is aware of the need to help small businesses and new companies survive and grow. Helping the British economy to do the same. Simplification of the tax system is just one step intended to support small business.

The Office of Tax Simplification is going to be tasked with finding areas of complexities in the current tax system which can be amended in an effort to support British Business. Its report will be used as the basis for the next Budget.

George Osborne the Chancellor of the Exchequer spoke of the new body saying:

“…With its independent, expert advice it will be a permanent force for a simpler tax system. Simpler, more competitive taxes will help us show the world that Britain is open for business.”

David Frost, director general of the British Chambers of Commerce commented:

“The creation of the OTS is a necessary and long overdue response to the relentless chop and change of tax law. The business community, and the economy, will benefit from the recently announced lower rates of tax, and now from the drive towards a simpler system. The government needs to continue with measures that foster entrepreneurship in order to secure a sustainable economic recovery.”

In the meantime, The Company Warehouse is helping new businesses and those who have carried out a company formation with tax efficient accountancy services and advice. Get in contact today to see what we can do for you.


For more information – http://www.hm-treasury.gov.uk/ots.htm

HMRC – Penalties For Failing To Notify

HMRCIn further steps to clamp down on tax avoidance, HM Revenue & Customs are planning to implement a penalties system for those who have failed to correctly notify them with regards to Tax or VAT. This will not only apply to those who are intentionally trying to avoid paying tax or VAT but also those who have been careless with their figures.


HMRC Failure To Notify Penalties

VAT Registration

vat-tax-deductableAs you may know, currently the law states that companies only need to register for VAT with the HMRC where their turnover is greater than £68,000 pa (£70,000 from 1 April 2010). Clearly there may be circumstances where a change in the success of the company means that the business quickly finds itself operating with a turnover near or at that level. Going over the limit means a company is required to register. In this situation, failure to do so within 30 days could now lead to a penalty. There are a number of benefits of voluntary VAT registration even when operating below this registration level. Clearly avoiding penalties is another good reason.

Using our online VAT Registration service means you can ensure that your company is properly registered with HMRC and our service is even tax deductible!

TAX Registration

Making sure your company is correctly registered for corporation tax is another essential part of working well with the HMRC. Avoiding penalties and paying what you are required, when necessary will mean you can run your company without hassle or worry. Because not everyone knows what is required in terms of corporation tax we provide an excellent accountancy service providing for your needs and helping you get on the right path.

PAYE Registration

Paying employees via PAYE is another area you may well interact with HMRC. Helping you to meet all the requirements placed on you, our Payroll Service not only helps you properly register, but provides for a number of other services with regards to paying employees. Easing the burden on you and allowing you to get on with the important business of running your company.

Being Tax Efficient

Remember that The Company Warehouse is here to help you get the most out of your new company. Setting up with us, means we can provide you with legal and tax advice to help you run a tax efficient business. Our recommended account – Pinnacle Accountancy, is there to help with a wealth of accountancy services. Meaning you can ensure your company functions within the boundaries of the law, avoids any unnecessary fines or penalties, but still retains a tax efficient nature.

Contact one of our business consultants today on 0800 0828 727 or follow the links in this article.

Tax Cheats To Be Named and Shamed

HMRCFrom the 1st of April this year, Section 94 of the Finance Act 2009 will come into force. This will mean that HM Revenue & Customs will have the power to name and shame both companies and individuals who have intentionally avoided paying the correct taxes. Tax evaders will find their personal details published on the HMRC website. The law is deemed to apply to those who have deliberately evaded tax of more than £25,000, but those individuals who admit to their actions can avoid having their name published.

This measure is another step taken by the government to ensure that people pay their proper taxes and is clearly targeted at those who are purposely avoiding paying tax. Tax avoidance is clearly illegal and recent retrospective tax measures have shown the governments new stronger stance on the matter.

If you are planning on carrying out a company formation or are already running a company and are worried about fulfilling your tax payment duties then we are here to help. We can provide you with guidance on correctly paying your taxes and registering with the HMRC for the payment of VAT, PAYE and Corporation Tax and more. Beyond that, we can help you with the right tools to make your company tax efficient, where rather than avoiding tax, you can minimise the amount you pay, while still staying within the boundaries of the law.

tax deductable

Carry out a tax efficient company formation with The Company Warehouse today. Take advantage of our low cost formation and business services and you may even be able to reclaim 100% tax on them.