nicky1979 started this topic @ 11:32 on 29/03/2006
Hi,
Can anyone tell me whether i need to get a VAT number and pay all my own taxes if i decide to run my own internet website business?
Im hoping the internet wil give me a small income which i can do on a part time basis (full time mum) so im not expecting to make thousands but hopefully a bit of pocket money.
Would i need my own accountant for the books etc...
Getting last minute nerves, is it an easy process or not?
Any advice would be appreciated :o)
RE: Starting an Internet Business
seanpearman | 29/03/2006 12:08 PM
It is compulsary to register for VAT if your turnover is anticipated or does exceed £61,000. If you are not going to be working full time on it I doubt that you will reach this figure. - A question for James Smith!
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Sean
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RE: Starting an Internet Business
sparkle1980 | 29/03/2006 01:06 PM
Hi Nicky
Like you I'm also a full time mum whose just started her own online business with a friend (www.eldondesigns.co.uk). I'm also a qualified accountant. Like Sean said, you will not have to register for VAT unless you go over the turnover threshhold of £61,000. You will however have to inform the Inland Revenue when you start trading as you will become self-employed. You will need to inform them within three months of your start of trading or else you will be liable to a fine. You can keep your own books and complete your self-assessment tax returns yourself without getting an accountant involved but it can be worthwile to do so if this isn't something you are comfortable with. You may find you will not have an extra tax or NIC liability if your income from all sources is within your personal allowance each year.
Hope that helped.Feel free to get in touch if you want any more help. My site has just gone live this week so I know how nervewracking it can all be.
Donna.