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As a small business owner, you are likely used to turning your hand to a variety of tasks. Small business owners are often more than used to doing everything themselves and juggling a wide variety of jobs all at once. However, no one can have expert knowledge on every subject, so some tasks in your business are better left to the professionals. Enlisting the help of an accountant for your small business can benefit your business in so many ways. When you choose to use professional accounting services , you will discover there are many reasons why hiring an accountant is a helpful decision. Here are some of the reasons you should hire an accountant for your small business: Gain a Trusted Business Advisor In today’s fast-changing financial climate, the role of accounting advisory services is becoming increasingly important. Making business-critical decisions without the figures to back them up is risky. Having a trusted financial services expert on hand to provide you with advice is an invaluable resource and something that will benefit your business time and again. Having the reassurance that you can discuss future plans for your business with your accountant before you commit to further expenditure will help to minimise the risks involved. Your accountant’s advice will provide you with the insights you need to make sustainable decisions that strengthen your business rather than harm it. Saves You Time Keeping your accounts up to date can be a time-consuming process, and it is easy to let them slide, especially when you are busy. Things can quickly spiral out of your control when you don’t have the spare time to give your business finances the attention they require. When you lack time to dedicate your attention to your business finances, you may fail to spot potential issues before they become a far more significant issue. Without regular monitoring, you may find yourself with a backlog of bookkeeping and panicking because there is very little time left to file your tax return. Failing to keep up with your accounts due to a lack of spare time can have far-reaching issues throughout your business. Having an accountant take care of your accounts on your behalf will allow you to focus on other areas of your business, knowing your accounts are in safe hands. Ensures You Avoid Mistakes Having a qualified accountant can help you avoid making mistakes with your accounts that could impact your business. When you are short of time and trying to juggle managing your accounts alongside a heavy workload, it can be easy to make errors. Unfortunately, even minor errors can impact the accuracy of your accounts and lead to miscalculations. Leaving your accounts to a professional accountant will help you avoid these potential issues. With years of training and experience behind them, an accountant will be able to handle your accounts with ease. Gain Expert Knowledge Without Over-Spending Appointing a CFO to your team may not be financially viable, but enlisting the help of an accountant provides you with a cost-effective alternative. An accountant will be able to offer a package of support to suit your business, so you will pay for the exact level of accountancy support you require. With the help of an accountant, your business will benefit from expert financial advice and guidance, and your accounts will be monitored without you needing to pay an expensive CFO salary. The benefits your small business gains from having an accountant will far outweigh the costs involved. Provides Valuable Insights An accountant can play a crucial role in helping your business continue to grow and become increasingly profitable. Having an accountant closely monitoring your company’s financial position will enable your business to benefit from expert guidance and valuable insights. The insights that your accountant provides will help you make informed business decisions and avoid unnecessary financial risks. Summary If you have been trying to manage your accounts alongside the rest of your workload, you will know that it can be challenging to try and give them the amount of time and attention they deserve. Failing to dedicate enough time to your accounts can have far-reaching consequences throughout your business. So, having an accountant by your side to provide the support your business and monitor your finances is an excellent way to ensure your small business has the professional support it needs to thrive. If you are looking for an accountant to support your small business, why not get in touch and find out how we can help.

Finding an excellent accountant can make a significant difference to a business and play a crucial role in helping it achieve a high level of success. Nowadays, accounting services provide much more than simply completing tasks such as bookkeeping and submitting tax returns. While the arrival of technology has led many of the basic tasks associated with accounting to become automated, it would be impossible for technology to replace the many benefits an accountant brings to a business. Financial accounting and financial accounting advisory services play a pivotal role in helping businesses manage their finances. To meet the challenges of modern-day accounting, these financial services professionals often take on a role equivalent to a CFO. As the role of an accountant is a highly responsible position, it is essential to find the best accountant for your business. Here are some of the characteristics which are beneficial for accountants and will enable them to provide excellent accounting services to their clients: Good Understanding of Business Accountants are increasingly involved in providing businesses with information in an advisory capacity. The financial information that is interpreted and reported by the accountant is then used by the company to inform critical decision-making processes. Having a good head for business and clear understanding of business models is invaluable when delivering advice to clients that will be used as a basis for business-critical decision-making. High Level of Attention to Detail Many people think of accounting as purely numbers on a spreadsheet. There is much more to accounting than updating accounts. An accountant needs a high level of attention to detail to report figures accurately and be able to interpret the information effectively. Inaccurately recording figures at any stage of the reporting process or misinterpreting them could lead to the information becoming wildly inaccurate and causing future issues created by skewed results. Honesty and Integrity Maintaining honesty and integrity at all times is essential when working as an accountant. The role of an accountant puts them in a highly responsible position and requires them to be trusted with a vast amount of information. Taking care of a company’s accounts sometimes means accountants can access the business’s bank accounts, so a high degree of trust is put into the accountant by the business. The financial information that accountants are privy to is also often highly sensitive. Treating this sensitive data with great care and using it only in the manner authorised is vital to prevent any breaches in integrity. Understanding the importance of client confidentiality and acting ethically and honestly every day is a crucial part of an accountants role. This need for honesty and integrity extends to the need for care when discussing client information and ensuring that information is only discussed with those that are authorised. Strong Communication Skills While accounting is focused on numbers, there is a definite need for strong communication skills too. This is because a critical part of an accountant’s job is to deliver information to stakeholders. Producing financial reports and then presenting them to the organisation is something that accountants will need to do on a pretty regular basis. The accountant will need to deliver the data clearly and concisely while also being able to explain the figures where necessary. At times, the data will need to be presented to stakeholders that may not have a great deal of accounting knowledge and may struggle to understand the data. Therefore, the ability to explain complicated accounting terminology and data in an easy to understand format is an essential part of the job. Excellent Time Management Time management is a key skill required throughout many careers, and accountants are no exception. Having excellent time management skills is vital for accountants as there will be many occasions when tasks need to be completed to meet a specific deadline. It is essential for accountants to have their client’s accounts prepared and ready to file to meet tax deadlines; otherwise, this could result in severe penalties for the business. So, effectively managing and updating the client’s accounts throughout the financial year is a key task that must be completed on time. Time management is more than just a skill needed at the end of the financial year. Each month and each quarter, accountants have financial reports that need to be produced and getting these completed on time is essential. Are you searching for an accountant with the skills and knowledge needed to take the best care of your accounts? Our team will be happy to help.

Keeping accounts is vital for every business and one of the most crucial tasks for organisations to perform. Financial accounting is about so much more than simply numbers on a spreadsheet; financial accounting is at the centre of every aspect of the business and performs an essential role in its success. Understanding the objectives of financial accounting is essential to gain the full benefits from this service and to find out how it can benefit your company. Here are the objectives of financial accounting, which explain in more detail how financial accounting helps businesses: To provide a concise record of a business’s finances Every company needs a systematic method of recording its financial activity, and this is provided by financial accounting. Financial accounting offers an organised and accurate method to record a business’s financial transactions. This permanent record of a business’s financial performance is then used in a variety of ways and distributed to key stakeholders such as the board and shareholders. To maintain the consistency and accuracy of financial information To be accurate and complete, an organisation’s finances need to be recorded in a uniform manner. Recording a business’s financial information on an ad hoc basis does not provide an accurate picture of its financial situation, and the data collected does not have much value. Instead, businesses need to use financial accounting to maintain a consistent method of recording their financial transactions. Financial accounting also enables them to report their finances accurately and to provide meaningful information. To track and compare a company’s financial performance Running a profitable business requires continual monitoring of the company’s finances. Unless the business’s accounts are up-to-date and complete, it is impossible to establish how well the company is performing. Knowing how well a business is performing at any given time is essential information that stakeholders need to track performance and compare figures year on year. Without this information, it would be impossible for companies to know how their financial performance compares to previous years. Every business strives to increase their turnover and profits each year while also reducing their costs, and financial accounting enables them to see whether they are meeting these goals. To monitor financial risks Failing to maintain accurate financial accounts can lead to severe issues and could mean potentially precarious financial situations are missed when they first arise. Failing to spot worrying financial trends can lead to the matter escalating into a more severe situation without anyone even noticing. Financial accounting enables businesses to take a proactive approach to their financial affairs, deal with any issues promptly, and ensure the company gets back on track quickly. To inform decision-making Having the ability to make informed business decisions is vital to ensure the long term survival and success of a company. But, to ensure any decisions made by the business are based on a solid body of information, it is necessary to have an accurate set of accounts. The insights provided by financial accounting are needed to make a wide range of business decisions. Whether a company is planning to upgrade their IT system, invest in new machinery, or considering expansion, each of these decisions needs to be based on a complete set of figures. Financial accounting will also be required beyond the initial decision-making process and will be used again to determine the return on investment provided by the purchases. To comply with legal regulations Keeping an accurate and complete record of financial transactions carried out in the course of business is vital for companies. This information is needed to comply with legal requirements, such as completing and submitting a tax return. The financial statements created by the financial accounting process may also be required for regulatory purposes for financial services companies and to demonstrate transparency within the organisation. Conclusion As you can see, businesses are obligated to provide accounts each year, but financial accounting performs a role beyond fulfilling compliance. The information recorded in a business’s accounts is valuable in every aspect of the company, from informing critical decisions to monitoring the business’s financial performance in any given time frame. Choosing the best financial accountants to take care of your business’s accounts can provide a whole host of benefits and will help to guide your business forward to even greater success. Selecting the best financial accounting services will ensure your business finances are in safe hands. Get in touch today to discuss your accounting needs, and we will be happy to help.

Accounting and bookkeeping are without doubt essential to run a compliant and effective enterprise irrespective of its size. Bookkeeping involves recording your financial transactions, while accounting involves interpreting and summarising the data gathered from bookkeeping. As a business owner, you are required by law to keep accurate records. Still, the benefits of proper accounting and bookkeeping extend far beyond compliance since you can obtain a genuine impression of your company's performance and take critical business decisions. Below are some helpful tips you can rely on to save money on accounting and bookkeeping. 1. Separate Your Personal And Business Finances Setting up a different bank account for your business is crucial to proper accounting and bookkeeping , so keep this in mind. A business bank account will allow you to draw a distinct line between your personal and company finances. This way, you can easily and quickly record business expenses without much confusion over whether your cash prevents you from seeing your company's genuine financial standing. As such, it is much easier to know if your enterprise is making a profit. Additionally, recording your business expenses via a separate bank account makes tax filing more convenient, saving you significant time and energy. 2. Automate Your Bookkeeping With Accounting Software Automated business processes are undoubtedly worth considering to save time and money. So using accounting software is necessary to streamline your company's accounting and bookkeeping. This is typically cheaper than hiring a bookkeeper, and this software can automate several accounting processes. You can track business expenses, create invoices, and access financial reports whenever you need them. Xero, Quickbooks, and SAGE are three of the best and most popular accounting software in the UK that you can consider for your enterprise's accounting and bookkeeping needs. 3. Reconcile Bank Statements Regularly It isn't uncommon to notice discrepancies between your accounting books and bank statements regarding your bank balance. Often, this difference is because clients are yet to deposit their cheques at the bank, and these banks can also take a few days to clear cheques before balances are reflected in your accounts. However, these differences can also be due to fraudulent activities and accounting mistakes. Therefore, it is crucial to reconcile your bank accounts often to identify any errors and prevent fraud. Also, it is always best to resolve any errors you come across while reconciling right away, especially if you are in charge of your bookkeeping. This way, you can avoid carrying the error for longer than necessary, circumventing penalties, wrong tax bills, and inaccurate financial statements in the process. 4. Consider Hiring A Professional Accountant There are reportedly over 300,000 accountants in the UK and Ireland, all of whom can make a big difference when seeking to save time and money with your accounting and bookkeeping. A financial professional can help you keep up-to-date records and help identify loopholes, potential fees, and tax deductions for which you may qualify. However, it is crucial to find the right accountant for your business, So pick one who can communicate with you in a way that you understand. Also, choose highly-trained and experienced accountants that demonstrate dedication to helping your company navigate all challenges that arise when handling business accounts. They should take the hassle of accounting and bookkeeping off your plate, allowing you to concentrate on business development. 5. Plan For Significant Expenses Like Taxes Many business owners dread receiving their annual VAT bills because discovering their bills' sizes pushes them to calculate how hard up they will be for the next few months. However, you can avoid the element of surprise by keeping track of your financial records to anticipate your tax bills. For this, you can set aside some money for tax every month, corresponding to your monthly income. This way, you will always have the funds necessary to pay your tax bill, avoiding the single huge outlay and many months of financial hardship. 6. Track Your Daily Expenses In Detail Many entrepreneurs approach their accounting and bookkeeping from an overview perspective with little focus on their daily operations. However, not tracking your daily expenses in detail can interfere with your accounting and bookkeeping accuracy, so it would help to keep tabs on even the most minor costs you encounter daily. These expenses can add up in no time and can eat into your company's finances quickly. As such, tracking them can help you know what you are spending on and whether you can eliminate or cut back on certain daily costs to save money.

There are various types of tax returns that need to be filed and completed by set dates every year. For many professionals, understanding which one you must file can be extremely confused. The Self Assessment is one of the most common tax returns around, and we'll explain what it is and who will need to file one. This will help you understand if you need to file this tax return, or if there's a different one for you to worry about. What is a Self Assessment Tax Return? Simply put, this is a specific way of paying tax in which you are responsible for getting everything together and filing a return. This can be filed online or via paper documents, and it will include all of your taxable income and capital gains, along with any tax allowances or reliefs that you've claimed. A Self Assessment is sent to HMRC, and it stipulates how much tax will need to be paid. This is then checked, with confirmation coming through to your Government Gateway account, confirming how much you need to pay. Each year, a Self Assessment needs to be submitted to cover the previous tax year. For the upcoming deadlines, you're looking at between 6 April 2020 and 5 April 2021. The deadline to submit your return for that tax year is January 31st 2022 - and this is also the deadline to pay the tax you owe. If you are submitting it via a paper form, the deadline for submissions is 31st October 2021. You also need to register for Self Assessment by 5th October 2021 to submit a tax return for the previous tax year. Who Needs to File a Self Assessment? The good news is that not everyone needs to file one of these tax returns . If you are in full-time employment and get paid via PAYE, you WON'T need to file a Self Assessment - unless specific criteria are met, which we shall discuss shortly. The reason you won't always need to submit an SA is that you are already paying tax through your job. Instead, Self Assessments are typically filled in by: ● Anyone that is self-employed - and earned over £1,000 before any tax relief has been taken off ● Anyone that's a partner in a partnership business However, you only need to register to file a Self Assessment for the upcoming January 2022 deadline if you were either of the above in the last tax year. So, if you started being self-employed or became a partner in a partnership business on 6th April 2021, you aren't eligible to submit a Self Assessment for the previous tax year. Instead, you should still register and be ready to pay tax next year for the upcoming tax year. Other reasons to file a Self Assessment HMRC stipulates that you will not usually need to send a return if your only income is from wages or pension. However, some people with full-time jobs or pensions may need to file a Self Assessment under the following conditions: ● You earn money from rental properties ● You get extra income from tips and commission ● You generate income from savings, investments and dividends that's greater than £10,000 before tax ● You earn foreign income that needs to be taxed in the UK ● Your annual income is greater than £100,000 before tax As a general summary, Self Assessment tax returns are mainly for people that don't pay tax through the more traditional means of PAYE. Still, there are some unique cases where you will need to file an SA even if you are paying tax through your job. What Are The Self Assessment Penalties? Firstly, you need to understand that HMRC won't contact you and tell you to fill in a Self Assessment. This is something you need to notify them of, and it's done by registering an account and filing your first return. If you fail to notify them, and they find out, you can be hit with big fines and penalties. For those of you that need to file an SA and miss the deadline for submission or payment, the current fines are as follows: ● £100 is your SA is up to three months late ● Interest charged on late payments - this can vary and will increase depending on how late you are Overall, it's vital that you understand if you need to file a Self Assessment, and how to file one. If you need help with this, contact the Smart Solutions Taxation & Accounting team today, we're an experienced and friendly UK firm that will help you work out if you need to file an SA, then get everything sorted correctly and before the deadlines.

Do you own multiple properties in the UK? Are you currently - or planning to - rent out one or more of your properties? The UK is full of landlords that do this all the time, largely as rental properties are a fantastic source of passive income. It's one of the most popular ways of using properties, and we've also seen an increase in people who own a house, move overseas, and rent out their UK home while they're abroad. Regardless of why you're doing it, if you make money from rental properties, you may need to pay tax. In fact, any income that's generated from your property - by any means - that exceeds £12,500 will need to be taxed. As you can imagine, things can get quite confusing when you consider what tax you need to pay, how much needs to be paid, and when you need to pay it. This is where hiring a property tax advisor can really be beneficial. What is a Property Tax Advisor? A property tax advisor exists to help you file any taxes owed from money generated by your property. The sole purpose is to guide you through the tax filing process, ensure you find the right forms to fill in and help you in any way possible. Why should you work with a Property Tax Advisor? What benefits can property owners see when they hire a property tax advisor to work with them? Firstly, you will benefit from an extreme amount of expertise in your back pocket. Property tax advisors are updated with all the latest legislation changes and tax trends, ensuring you always know exactly what needs to be done. You will never be in a position where you miss tax payments because you were unaware of rule changes or new deadlines. A property tax advisor uses their experience and knowledge to constantly stay on top of things while keeping you in the loop. Secondly, working with property tax advisors lets you learn more about your property and how successful it is. A significant part of the tax filing process is seeing how much money you generate from your properties. This means you have to keep up-to-date accounts detailing how much income you earn - as well as what expenses go into running your rental property. Alongside understanding how much tax you need to pay, this can help you see if you're making a profit or not. Thus, you can use the information provided by your tax advisor to see where you can maybe improve operations and make your property more profitable. Thirdly, working with the right advisor can help you if you are currently a non-resident landlord with property in the UK. HMRC set up the Non-Resident Landlord scheme to tax non-UK residents with rental properties, and it can be confusing to get your head around. When living abroad, you don't always have time to think about your property or remember important things like tax. Experienced property tax advisors will guide you through this scheme and handle the process for you. Professional advice will be given out to ensure everything goes as smoothly and hassle-free as possible. Finally, you can save money on taxes by working with property tax advisors. A lot of landlords are unaware of what can be claimed as an expense. Therefore, you're filing tax returns without taking off expenses that can lower your total bill. With experienced tax advisors in your corner, you will learn exactly what you can legally claim as an expense to get deducted from your tax bill. Not only that but there are certain tax reliefs that landlords might be able to claim. Again, working with a specialist property tax advisor will help you see if you're eligible for any reliefs. Thus, you can reduce your tax bill even further, saving more money. Where can you find a Property Tax Advisor? Ideally, you want to hire property tax advisors that are vastly experienced and can offer comprehensive services that are tailored to your specific means. As it happens, you're in the perfect place for this! At Smart Solutions Taxation & Accounting, we have all the experience necessary to help you get the most out of your properties. If you're a landlord that resides in the UK, we can assist you with all things related to taxes. This includes working out how much tax you owe, handling your expenses, and helping you file the necessary tax return. We can also help non-UK resident landlords with their taxes on UK homes as well. To learn more about what we can do for you, get in touch with a member of our team today!

Businesses around the UK will need to pay Corporation Tax every single year. Before you can do this, you need to fill in and filed a company tax return.

Working with a trusted accounting service really opens your eyes to the sheer amount of DMS options. These are document management systems

If you find you have come into some problems with money, and there is no need to be embarrassed it can happen to anyone