Partnership Accounts & Taxation

The partnership would need to complete a self-assessment tax return. It will automatically be sent the tax return by HM Revenue & Customs at the beginning of the next tax year following inception, providing you have informed them of the partnership by completing form CWF1. The deadline for filing is 31st January following the end of the tax year from when you started in business. However, you should not leave this task until 31st January as you will also need to pay tax by 31st January and therefore advance notice of the actual liability would be helpful for planning your cash-flow.

Your business accounts would need to be prepared to the year end of your choice and the 'taxable profits' from the partnership will be included in the self-assessment tax return together with your other personal income. It is usual to have a 31st March year end so that it coincides with the end of the tax year. We can advise you of your best options when deciding on the business year end date.

In order to arrive at the 'taxable profits' figure, we give technical advice on which business expenses can be claimed against your income and those which are not allowed. Overall, we advise our clients on how to reduce their tax bill by claiming all the expenses they are entitled to claim.

For information and assistance please call 01923 224411 or email Priya Raja-Motala.