Accountants in Brompton Ralph

Dividends can only be paid from accumulated profits, and paperwork matters: board minutes and dividend vouchers, dated correctly. "Illegal dividends" isn't dramatic language — overdrawn payments can be reclassified, with tax consequences, if the profits weren't there.

The businesses that struggle with tax bills rarely have a tax problem; they have a timing problem. Knowing the bill in September instead of January — which filing early gives you for free — is the difference between planning and scrambling.

Directors paying themselves a salary still need a PAYE scheme and RTI submissions, even in a one-person company. It's a five-minute monthly task with software — and a recurring penalty generator without it.

Online Self Assessment returns are due by 31 January, along with any balancing payment — and HMRC's £100 penalty applies the moment the deadline passes, even if you owe nothing. Most Brompton Ralph clients who come to us in January still file on time; the records just need to arrive before the last week.

Timing disposals across tax years, using losses properly, and the spousal transfer rules can all legitimately reduce capital gains bills — but only before the sale. CGT planning after completion is just arithmetic.

VAT registration becomes compulsory once your taxable turnover in any rolling 12 months passes £90,000 — and "rolling" is the word that catches people, because it's not your accounting year. Businesses in Brompton Ralph growing towards that line should be watching it monthly.

The trading allowance means up to £1,000 of gross side income per year can be tax-free with no return needed. Above that, registration and reporting kick in — and platforms now report seller data to HMRC, so "under the radar" isn't a strategy any more.

Scam "HMRC" messages outnumber real ones — HMRC doesn't demand payment by gift card or threaten arrest by text. Real letters have reference numbers that we can verify directly with HMRC before anyone responds.