Sole trader

You must register with HM Revenue & Customs (HMRC) as soon as you can after starting your business, or you may face penalties.

Tax responsibilities

You must:

  • send a Self Assessment tax return every year
  • pay Income Tax on the profits your business makes
  • pay National Insurance

You must also register for VAT if you expect your business’ takings to be more than £85,000 a year.

Limited Company

You must set up the company with Companies House and let HM Revenue & Customs (HMRC) know when the company starts business activities.

Every financial year, the company must:

  • put together statutory accounts
  • send Companies House an annual return
  • send HMRC a Company Tax Return

The company must register for VAT if you expect its takings to be more than £85,000 a year.

If you’re a director of a limited company, you must:

  • fill in a Self Assessment tax return every year
  • pay tax and National Insurance through the PAYE system if the company pays you a salary

Further reading:

Starting Your Own Business e-learning from HMRC

> HMRC Toolkits and Guides



Download your copy of ICB's heraldic crest for use in your communications- exclusively for Practice Licence holders.

Read more

The processing of personal data must comply with the GDPR which and you may need to register with the ICO.

Read more

Find out more about the Bribery Act, how it affects your practice, and download a policy template.

Read more

With a different Branch in almost every county, there's always an event to attend and something to get excited about.

Read more