A Sole Trader, also known as a sole proprietorship is a simple business arrangement, in which one individual run and owns the entire business. This means that you are in complete control of your business and the profits you make are completely yours. Setting up a sole trader is a quick and easy way to start up in business and requires the least cost, as there are no legal or formal processes in getting started.
However, this also means that you as a sole proprietor are also solely responsible for the debts and liability of the business. Global Tax Accountants can show you the best way to manage your income and offer advice on protecting your business.
In your first year of trading, you don’t file an income tax return until after the end of the tax year. However you will need to take advice on managing your cash flow and ensuring you have funds available to pay your first tax bill when it arrives, easing cash flow in your second year.
Global Tax Accountants are in business to ensure that we can put up a simple business plan together for you, which eliminates the stress of having to think about your tax obligations. Most successful business function extremely well with the help of a professional account firm and we are here to guide you to get it right. On your own, you are likely to be unaware of all the aspects and policies of the tax system which you need to follow for the smooth running of your business.
Leaving taxes unpaid is serious business and can result in costing you a lot of money. It is crucial that you resolve the issue as quickly as possible to avoid penalties and interest on late tax payments and tax returns. It only takes a short amount of time for tax debt to get completely out of control.