freelance and VAT
freelance and VAT
Out of context: Reply #7
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- HomeCreative0
Go vat registered if your going to hit 40k+ and ask your accountant to put you on the flat rate vat scheme. This way you still charge out 17.5% on invoicing, but you only have to pay the inland revenue 8%. You can do this as long as your not turning over 200k (might be 300k).
Limited company tax is charged at 20% (on gross profit) for small companies, and if your accountant is competent they'll make sure your not liable for any personal tax. Where as if you go self employed you pay 25% of everything.
PS....You dont need insurance by law at all. Professional indemnity is advisable if your in positions where something could go wrong and you could end up with a large bill