A Self-assessment form ultimately details the calculation of one’s own taxable liability, otherwise known as a Personal Tax Return. If you are a company director you are required by law to complete and submit a self-assessment annually to HMRC stating your income, capital gains and any tax allowances or reliefs, i.e. expenses.
Up until less than a decade ago, permanent roles were arguably the most prominent way of working. However, contracting roles are becoming ever more popular and there are now estimated to be 600,000 contractors (operating via a limited company) in the UK.
There was a time when contractors couldn’t claim travel from work to home for a ‘temporary’ workplace. They were like any other permanent staff member – unable to claim back the cost of travel. Along came new legislation in 1998, which allowed travel to become claimable for contractors as long as the work place didn’t last any longer than 24…
It’s always great when you make a profit on a valuable item or asset. In accountancy terms this is called a ‘Capital Gain’. Tax is paid on the amount you ‘gain’ on the asset or item. depending on what it is you’re making a profit on and if the gain over the tax year is £11,000 or more.