7 Tips for Business Financial Year End Tax Planning

Get a head start on preparing for taxes with these simple steps.

12:54 25 March 2013

If you just started a business, you may be surprised to find that there are a host of different dates to note for your business financial year end tax planning. No one needs more on their plate when running a business so here are a few steps to help you stay organized.

 

• Print the  current year’s schedule for key tax deadlines.

 

• Know your tax payment timeframes and options, larger businesses are required to pay electronically.

 

• Keep extensive records of anything pertaining to business-related transactions?

 

• If your business is set up as a sole trader or as a partnership, be sure to register for Self Assessment with HM Revenue & Customs (HMRC).

 

• Consult an accountant to find out the best way to track all the necessary items for financial year end tax planning.

 

• Also keep track of what expenses you personally paid for regarding the business, and what expenses were paid for out of the business’ budget.

 

• Check to see if your business should also be registered to pay Value Added Tax or VAT.

 

This is a series of generic steps which can help start you in the proper direction when it comes to financial year end tax planning.

 

Keeping inaccurate or insufficient records can cause penalties, so if you are unsure what types of records to keep, search online or communicate with HM Revenue & Customs (HMRC) to get a better idea of what you should be keeping.

 

Also, if you decide to retain your records in an electronic format, be sure to scan both the front and back of any items to prevent the questioning of document authenticity. Check first with the HMRC to ensure that electronic records are acceptable.