Sole Traders

As a sole trader you run your own business as an individual and are self-employed. You keep all your profits after you have paid income tax and national insurance where applicable.

Setting up as a sole trader

A sole trader is required to register as a sole trader with HMRC. HMRC then send you a unique taxpayer reference, which is used to file your tax return.

What taxes do sole trader’s pay?

Sole traders pay income tax at progressive rates from 0% to 45% dependant on your level of income. Further to this class 2 and class 4 national insurance is payable.

Your Responsibilities

HMRC require you to file an annual tax return on 31 January, following the year of assessment. By way of example for the period 6 April 2023 to 5 April 2024 the self-assessment tax return is due by 31 January 2025.

How Emulous Accounting can help

At Emulous Accounting we can help you with:

  • Registering your business with HMRC for tax purposes.
  • Calculate the businesses taxable profits.
  • Provide advice on allowable expenses to help maximize tax savings.
  • Complete and submit your tax return using HMRC approved software.
  • Provide advice to you on tax payable to HMRC.

For more detailed information and to arrange a free consultation tax return services willesden, please contact us.

13 Balmoral Road

Willesden Green



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