The UK Rules
'Follow the Regulations'
Taxation Overview

Business Tax Guide for Small Businesses

What fundamental taxes do small businesses pay in the United Kingdom? This tax overview is for business owners and anyone running their own company.

TAXATION: There are a handful of common and key taxes you should be aware of and understand if you run a small business.

As a rule, once you have setup in business and start trading you will have some kind of company taxation to pay, such as:

Managing a commercial operation can seem complicated with all the different taxation rules. Many bosses find it difficult to understand which taxes apply to their outfit.

This overview will help you determine your liabilities and obligations. Use the guide to ensure you pay the correct levies to HM Revenue and Customs.

Business Taxation Help Guide

Accounting Procedures for TaxationAccounting Procedures

CASH BASIS: Would your small business be better off using cash basis accounting practices? You record business income and expenses as cash flows in and out - not when invoiced or received.

COMPANY TAX RETURNS: Learn how to prepare a Company Tax Return for a limited company or an association. Check the deadlines, penalties for late filing, and how to make 'amendments'.

DORMANT COMPANIES: An 'inactive' company has varying statutory obligations for corporate taxation. Review the procedures of dormant companies and associations for Corporation Tax.

FILING TAX RETURNS: The accounts and tax returns for private limited companies are annual. They take place after the end of the company's financial year.

FIRST ACCOUNTS: Some accounting basics will help you avoid penalties if you started a limited company. Check how to line up limited company first accounts and Company Tax Return.

NOTIFY HMRC: It is not uncommon for a company to change its legal structure or activity. Check how and when to tell HMRC about a change to your business name, address, or other details.


Capital Allowances for BusinessCapital Allowances

CAPITAL ALLOWANCE RELIEF: Understanding the rules of claiming capital allowances is key in business. Check how to claim capital allowances on business assets and pay less tax.


Capital Gains Tax for BusinessCapital Gains Tax

CGT FOR BUSINESS: Producing a profit, or realising a gain, on company assets may be liable for Capital Gains Tax for business situations. An example could be selling or disposing of an asset that is part of the business.


Charities and TaxationCharities and Taxes

CHARITY TAX: Most 'recognised' charities qualify for tax exemptions and reliefs. The section explains treatment of charities and taxation by HM Revenue and Customs.


Construction Industry Scheme Tax GuideConstruction Industry Scheme

CIS TAX GUIDE: The Construction Industry Scheme is one of the special tax deduction schemes. As a rule, tax gets deducted at source from CIS payments relating to building work.


UK Corporation Tax GuideCorporation Tax

CORPORATE TAXES: The guide explains when a company or an organisation must pay Corporation Tax. Check the processes for paying company taxation and reporting to HM Revenue and Customs.

GIFTS TO CHARITY: Donations are ways for limited companies to get tax breaks on Corporation Tax. Check the process of claiming tax relief when your limited company donates to charity.


Expenses and Employee Benefits GuideEmployees Benefit Expenses

BENEFITS IN KIND: Employers should understand how expenses and employee benefits work in UK. They are an indirect means of compensating workers with benefits above and beyond their normal wage.


Business Expenses GuideExpenses for Self-Employed

ALLOWABLE EXPENSES: The section explains allowable expenses for self employed workers. Check out all the business expenses you can claim for if you are self-employed.

SIMPLIFIED EXPENSES: Check to see if simplified expenses could save your business money. Try the simplified expenses checker and compare what expenses you may be able to claim.


Machine Games Duty GuideMachine Games Duty

MGD: Takings from a game played on a machine for a prize is subject to Machine Games Duty (MGD). Check out what you need to pay it on, how to register, and how to file a return.

PAY MGD: HMRC issue penalties for late filing of MGD return beyond the deadlines. The section explains how to pay Machine Games Duty in the United Kingdom.

PAY GBD: Information in the section covers the process of registering for gambling tax. The service explains how to register to pay gambling taxes online in the United Kingdom.


Tax Compliance Check GuideTax Compliance Checks

HMRC COMPLIANCE CHECK: HMRC can conduct tax compliance checks on an individual taxpayer or on those who run a business. Find out how the checks get conducted and what you might need to do.


hOW TO Appeal to the Tax Tribunal GuideTax Tribunals

APPEAL TO THE TAX TRIBUNAL: HMRC First Tier Tribunal rules for making an appeal to the tax tribunal. Find out what happens at First-tier tax tribunal hearings and what to do if you lose the case.


Businesses and Charging VAT GuideVAT Businesses

RULES ON VAT: A business can only charge Value Added Tax if they have VAT registration with HM Revenue and Customs. Find out how businesses and charging VAT works in the United Kingdom.


VAT Returns GuideVAT Returns

HOW TO SUBMIT A VAT RETURN: As a rule, most companies must submit VAT Returns every 3 months to HM Revenue and Customs. These quarterly VAT Return dates are the 'accounting period' for a business.

PAY VAT BILL: There are different ways to pay your VAT bill to Her Majesty's Revenue and Customs. Most small businesses will pay VAT bill online - but there are other options in the United Kingdom.

PAY VAT MOSS: HM Revenue and Customs developed VAT MOSS. It allows UK sellers to pay VAT MOSS bill to HMRC instead of registering for VAT in numerous EU countries.


Business Tax Guide for Owners of Small Businesses in the United Kingdom