Thanks everyone

[Peter W]

Originally Posted by Fill-Your-Pants

But I dont understand what I would need an accountant for at this stage? Surely I just fill out the form and register don't I?

I would definitely recommend seeing a good accountant as soon as possible. As well as explaining how the tax system will affect you and helping you to start keeping proper business records, they should also offer some good business advice on a range of matters. The earlier you see them, the more they can do to help you to start off on the right track. The first meeting is almost always free - if it isn't, try elsewhere.

[Chubster]

Originally Posted by Inzvestor

Make sure you become exempt from Class2 NIC's. You will receive an exemption letter within a few days if all goes well.

Whats this then ....Both myself and my partner are sole traders but we still pay class2 NIC ??

[Peter W]

Originally Posted by Chubster

Whats this then ....Both myself and my partner are sole traders but we still pay class2 NIC ??

Exemption is available if your self-employed earnings are less than £4,825 per year (from 6 April 2008).

It is also available if you are over state retirement age.

[Calibre Designs]

Couldn't agree more! They will charge you £100 if you are late - no excuses.

You will also find that as time passes, you get busier and busier (hopefully) and by the time you reach your deadline for registering, you just add to the juggling act. The luxury of having time at the very beginning is, as I said, a luxury

But I dont understand what I would need an accountant for at this stage?

They will advice you how to keep your accounts up to date should you wish to do it yourself and reduce the overall running cost. They will advice you if/when you need to register for VAT (In your field Laura, I suspect you should reg for VAT too as you buy and sell). You do not have to have earned up to the threshold but see the potential to and of course that enables you to claim back VAT. Generally, they will tell you how to claim money that you are entitled to given your personal circumstances and ties with the company.

[Pixels Ink]

I pay my accountant £30 a month for his services and the peace of mind it gives me is priceless.

He has given me very good advice on tax and VAT issues which I found more difficult to understand just reading on forums.

I put in for exemption from Class 2 NIC's for my first year of trading. Its only £8.80 or so a month, but when you are starting off, any pennies you can save is a good thing