For those who run businesses, whether small, medium or large, the process of preparing balance sheets, auditing requirements and tax forms is tough, especially if they do not have time to do all this or if they lack the knowledge to carry out the procedures. Getting the help of a variety of professional taxes and accounting-related consultants will do a lot to help business owners and businesses maximize their time and ensure their financial resources are well audited and in proper order. Eg. The services offered by independent accountants differ significantly in many aspects, especially if you get them from an accountant on your payroll. The following sections provide an overview of the wide range of services provided by professional tax and accounting consultants.
The accounting process refers to the recording of companies’ daily trading transactions. All relevant data such as purchase receipts, expense invoices, sales invoices, received and issued credit notes, delivery costs and delivery notes, cash sales, cash received from debtors and others are entered in an official accounting record, which many call the “books” posted. These days, most accounting books in software form come with the entries entered using the basic double entry system and other accounting rules on the computer. Your accounting consultant may be able to provide your company with the necessary accounting software and provide the training as well as proper implementation of an automated accounting system in your small business or large company. The use of modern accounting software represents a more personal accounting and banking business as well as giving key decision makers and managers a more practical approach to their work.
Professional tax advice: Most people immediately think of “income tax” when someone talks about providing professional tax advice. Well, an income tax is just one of the many forms of taxation that the state imposes to use for social programs and other services. In the United Kingdom, for example, a large segment of the income tax and capital gains taxes are administered by Her Majesty’s Revenue & Customs Department (HMRC). An income tax acts as the main source of income for the government. This type of taxation is based on a earned and undeserved income for a business or individual employee. For this tax, there are a number of payment scales required annually by the government as part of its budget process, and each person who has an income is responsible for paying these, provided their income is above the threshold. Tax and accounting consulting services help your business pull out the details, fill in the right forms, know the relevant tax laws and avoid any penalties.
Corporate taxes, on the other hand, must be paid annually, and these are important tax payments that businesses should not miss. This type of tax is levied on the taxable income or profit of a limited company. However, this tax does not apply to self-employed persons, but applies only to limited companies, organizations as well as member clubs, communities and associations. Value Added Tax (VAT) on the other hand can be quite stressful to deal with, especially when the deadlines arrive. According to tax experts, VAT is one of the most complicated taxes levied for businesses as failure to implement such returns on time will result in applicable penalties and interest rates. An accounting and tax consultant will offer to help your company keep abreast of the latest HMRC rules, as well as offer complete advice on the difficult aspects of VAT, such as flat rate, VAT registration, VAT planning and administration, mandatory registration time, the benefits and disadvantages by voluntary registration, VAT on import and export, as well as customs and excise duty.