You may have already read our article on ‘How Much Accountants Charge for Tax Returns’. If you’re a Sole Trader or Freelance, you should be reading that article instead.
If you’re a Limited Company, large or small, you’re in the right place.
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As a Limited Company, your accountant will have a lot more data to sift through. This means they will have to charge a higher rate than they would for Sole Traders. On top of this, they have to send off your accounts to Company House as well as filing your Tax Returns and VAT.
A Limited Company has many more responsibilities when it comes to filing tax. It isn’t unheard of for small and large companies to be paying upwards of £20,000 just to file their taxes.
As a Limited Company, How Much will your Tax Returns Cost?
Small Business
For a small business a tax return will cost in the region of £850-£950, again depending on how complicated your tax returns are. As a small business, you’re more likely to having complex tax returns than simple ones, unless you’ve been uploading everything to a cloud-based account regularly (which we would highly recommend).
If you’re a single person Limited Company, this price is also slashed as your accounts will be quite simple. If you’re running a business of 10+ employees then you’re more likely to be considered a Micro-Entity or Small Business, which will increase your accountancy costs.
An accountant for anything larger than (and including) a micro-entity is a necessity, not a legal-requirement, but extremely important. Accountants will provide valuable financial advice for your business as well as helping with your accounts. It’s definitely worth having an online accountant on hand to give you advice, rather than just when your tax return is due.
Large Business
Large businesses can expect to pay anywhere between £10,000-£20,000 for a tax return. Much like small businesses, a large businesses tax returns are unlikely to be simple and will probably cost the higher end of this scale.
This number is just an average, and the cost solely depends on how complicated your finances are. If you’re simply providing a service and don’t need your stock auditing, you can look towards the lower end of the scale. If you’re selling merchandise where you’ll need your stock audited as part of your yearly finances, it’ll be more expensive.
How Do I Cut These Costs?
You could try doing your accounts yourself, but you know as well as we do that won’t happen. But what if you could reach a middle-ground? Where you can do your side of the finances with the assistance of an accountant throughout your financial year?
An online accountant works alongside you during the year. Using cloud-based accounting software, you can upload your finances through your smartphone or tablet as-and-when they happen. This means your accountant doesn’t have to spend time gathering your finances and can offer you a cheaper rate.
For more information call 0800 0460 560.