Advice please from accountants regarding a business

newbridgemom

I have a small business started where I only make under €10,000 a year. I never know how much how I will make in year as it is based on demand (photography). I haven't registered my business yet as I didn't know if I could make any money after having spent a good sum of money investing in equipment. Plus I'm not sure if I need to register it and pay tax if I'm not likely to make more than 10,000 anyway? My husband takes my tax credits and he makes a modest salary under €40,000.

Do I have to register my business and pay tax and how much would an accountant's services cost to help me during the year? Thanks!

J.Ryan

Yes you have to register.

As for cost, a bit more information is needed, if you want to pm me some contact details, I'll ask a few questions and be better able to give a quote.


John

Da GOAT

technically you should but how many people are doing nixers etc in the world.

dbran

Yes. You do need to declare the income and pay tax on the earnings if it is due.

But you will also be able to claim your business expenses and thereby reduce your income tax liability.

If your net additional income from the business is circa 3k then you may not have to register for self assessment and a tax return would be all that would be required to be filed.

If it is more then this you will need to register as self employed and in that case there can be significant interest and penalties imposed if you fail to make a return on time and for the correct amount. A set of accounts of the business should be prepared unless it is a very small.

If you want to send me a PM and let me know a bit more about your business I can let you know how much it should cost to take care of everything in the year.


Kind Regards


dbran

wboland1968

Sounds as though you do need to register but you're much better off dealing with an accountant so that you get everything set up properly from the word go

I am self employed in a small business with minimal overheads - I found a huge number of accountants quoting me for looking after my books on a monthly basis for between €90 and €130 per month, but then I found a properly qualified accountant who showed me what to do myself all year long and all I then have to do is hand him the books once a year and he pulls together accounts and a tax return for me - all for less than €550 - he gives me advice on how things are going and keeps me on the right track

You don't need an accountant all year long

newbridgemom

Thank you! I've been quoted from €400-€750 for the first year and I hope to get some more quotes. I was really hoping to find someone a bit less expensive though as I can't imagine my business would need much attention. It is very tiny and I only hope to make around €5000 or so in profit per year at the time being.

J.Ryan

newbridgemom wrote: »

Thank you! I've been quoted from €400-€750 for the first year and I hope to get some more quotes. I was really hoping to find someone a bit less expensive though as I can't imagine my business would need much attention. It is very tiny and I only hope to make around €5000 or so in profit per year at the time being.

There are some basic costs in accepting a client, regardles of the size, also once the accounts are prepared, the time spent completing a form 11 (Income Tax Return) is basically the same form client to client.

I couldn't see someone quoting you a figure below what you have received, but I would advise you to go with a member of a professional body, for the kind of work involved this includes (but is not limited to) ICAI,ACCA,CPA,IIPA,AAT,IATI,CAT & ITI should all be able to do this work to a professional standard, do ask to see their practicing cert. tho.

Toblerone1978

newbridgemom wrote: »

Thank you! I've been quoted from €400-€750 for the first year and I hope to get some more quotes. I was really hoping to find someone a bit less expensive though as I can't imagine my business would need much attention. It is very tiny and I only hope to make around €5000 or so in profit per year at the time being.

I will send you a PM on this.

wboland1968

Those quotes are in the right area, and €400 is the absolute minimum regardless of what money you make - your accountancy fee has got nothing to do with how much profit or loss you make; it's not linked! - you will pay less than €400 to unqualified people but they're not members of a professional body and are not regulated or insured - so they're not proper accountants - I found this out the hard way! - do follow the earlier advice and make sure whoever you contact has a Practicing Certificate issued by a professional body and also that they carry Professional Indemnity Insurance - I'm happy to recommend my accountant if you hit a dead end