Steps for a business start-up

Steps for a business start-up

You’re looking to start up your own company and to become an entrepreneur. You have the name decided upon and you know exactly what goods or services you will offer to your audience, and now you just need some wind to pull your idea off the ground for you to lead to fruition. You may even have identified customers and started establishing a base for your idea.

IR35 Updates: April 2020
Contractors completing work for end user clients need to be aware of updates coming in April 2020. There have been discussions concerning the change although much of this was buried underneath Brexit and general elections coverage within the media. The changes would not affect companies that, under Companies Act, are considered small. The change will mean that there will be tougher rules on if a worker is working in effect as an ‘employee’ of the end user and if so to have PAYE and NIC tax deducted from their pay.
April 2020 Changes
An announcement in the Autumn Budget 2018 explained that from April 2020, Capital Gains Tax rules would be changing. Before this date, any sales of additional properties, land, shares in businesses or any other large asset disposals would be included on the individuals’ self-assessment tax return. The sale price would have the purchase price and any reliefs deducted from the amount before the calculation applied a personal allowance amount and calculated tax on the remaining amount.
Where is the Autumn Budget 2019?
From 2017, each Autumn the Chancellor of the Exchequer publishes an Autumn Budget statement which details the plans for Government funding and spending intentions based on the economy of the United Kingdom over the upcoming year. Before 2017 the budget was released only in the Spring, which has now become the Spring Statement. The Autumn Budget can also contain information on planned changes to tax collection and taxation rules which would affect the country in the upcoming year, whether they affect companies or self-assessment individuals. Usually these tax changes are announced a year before implementation to allow for software providers and users to update their systems. The intended date for the 2019 delivery was the 6th November 2019. Boris Johnson, the Prime Minister, wants a general election to be held on the 12 December 2019 which would require a dissolution of Parliament 25 working days before this date. To achieve this, Parliament would need to dissolve on the 6th November itself. Therefore, the Budget Statement for Autumn 2019 has been cancelled.
The Importance of Pensions
In the UK, if an individual has contributed towards national insurance out of their earnings for at least thirty years they will be entitled to the full amount of state pension each week when they reach the pension age. A forced retirement age does not exist so reaching the pension age does not mean a person is required to stop working and in some cases, for financial stability or for a love for keeping active, many individuals will choose to continue working. In some cases an employer can force retirement but must provide reasonable evidence as to why they did so, such as health implications.


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