Often, the question arises is whether you need an accountant for self-assessment. Well, it is not necessary to hire tax accounting services, London, to support you with your self-assessment tax return. This is more so if your finances are not complicated and you are confident you can accomplish the task yourself.
Nevertheless, there are several benefits to using a tax accountant London, to complete your tax return, especially if you feel you are not qualified for the work or lack time to do your self-assessment return.
Many people take the help of an accountant to save money since accountants can assist in maximising tax relief by claiming for all permissible business costs and, hence, lessen your tax bill.
Thus, if you are too worried about filing your tax return or prefer to save money, seeking the support of a competent accountant is necessary.
Why Do You Need the Help of Accounting Services, London?
Following are the benefits of seeking the help of a professional when it comes to self-assessment tax returns.
1. Cost Savings
A tax accountant, London, can help maximise permissible business expenditures – their skills imply that they have a good understanding of what can be claimed. Hence, they can often claim for expenditures, which, perhaps, you may overlook if you file your return yourself. Using an accountant to file your self-assessment tax returns reduces the tax amount you may have to pay and help in saving money.
2. Accuracy
Accounting firms providing tax accounting services London, will ensure the self-assessment tax return is prepared correctly and complies with HMRC. Accountants know what is to be claimed as expenditures and what cannot. They will also be up-to-date on the latest tax laws and regulations.
Having somebody knowledgeable to assist you in filing your self-assessment tax return gives you peace of mind and the assurance that you will not have to face any fines or penalties.
3. Saves time
Filing your self-assessment tax return is not a quick, easy job, particularly if you do not know what you are doing. Some things need to be taken into account, such as
- Calculating sole trade income or rental profits, making sure all expenses and income accrued/incurred during the year are captured. It is imperative to retain details of the calculations in case HMRC needs to verify/check your tax return.
- If you get stuck when filing the self-assessment return, you may have to contact HMRC. A tax accountant, London, can speak to HMRC on your behalf, therefore saving you from having to make the call!
- Including all information in HMRC’s self-assessment tax return software is very time-consuming – there are numerous screens to click through, and at times may feel like a never-ending question list. Not only it is confusing if you’re not on top of things with your tax matters, but it can also be very time-consuming.
For a comparatively lower cost, you can have an expert accountant to do the above tasks. This is even more important if your return is complex, with various sources of income to take into consideration!
4. Support
If you have hired the assistance of tax accounting services, London, they can help with any queries you may have during the tax year. This can impact your self-assessment tax return. For instance, a new tax code you have received that you are not sure about or a letter from HMRC that can perplex you.
If you hire an account, you can take these queries to them instead of trying to work out the solutions and any tax repercussions yourself.
5. Expert advice
A tax accountant, London can offer expert advice custom-made to you and your circumstances. For instance, If you are self-employed, the tax accountant can advise you on whether or not there are benefits to going limited as an alternative.
Without the accountant’s expertise, the probability is you will keep doing what you have always done, although better alternatives are available to you.
6. Forward Planning
A qualified accountant can utilise the information from the current tax year to advise business owners on ways to strengthen their position for the subsequent year. For instance, if the income is likely to be above GBP 100,000, they would discuss the pension contributions to help minimise the 60% tax trap.
Conclusion
If you have a tax accountant, London, dealing with your business affairs, there are advantages in hiring them to deal with your self-assessment return. These accountants have full visibility of your business and can take a holistic view to maximise your tax affairs.
Hence, there are several reasons for hiring tax accounting services, London, when it comes to filing self-assessment tax returns. You can save time and also get expert advice. Moreover, accountants assist in making the process smooth, easy and penalty-free.