A guide to National Insurance for IT contractors. How NI works, and the prevailing rates and thresholds for employees’ and employers’ NICs.
Contractor Tax Guides
- Limited company contractors have to account for company tax (Corporation Tax, VAT, Employers' NICs), and personal tax (Dividend Tax, Income Tax, Employees' NICs).
- In reality, a good accountant can take care of almost all of your company's accounting needs.
- If you're an umbrella contractor, then your tax and accounting needs are very simple, as you're taxed as a standard employee. Tax and NI deducted at source.
- How are dividends taxed?
- What is a director's loan?
- The most tax efficient salary for a director
- Limited company expenses your company can claim
- Taxes your limited company must pay
- What is the Employment Allowance?
What happens if you declare a dividend, but have insufficient profits in the company books to cover the declaration? Patrick Gribben explains how this can happen, and how to correct an error.
If you have children, and you or your partner earn £50,000 or more, your Child Benefit entitlement will be reduced, or removed. So, how are contractors affected by the new rules, and why are they so controversial?
When running a Limited Company for the first time, you’ll come across lots of new accounting teminology. When it comes to payroll, one of these terms may be the ‘P11D’.
The tax rules associated with borrowing money from your own limited company are fairly complicated. Therefore, it is important for company directors to understand the rules, guidelines, and tax implications associated with taking out a Director’s Loan.
As a limited company owner, you may have come across the terms ‘interim’ and ‘final’ dividends. So, what do these terms mean in practice?
What is the most tax efficient salary level for a limited company director during the 2023/24 tax year?
If you buy a car via your own limited company, there are several tax considerations to consider. Read our no-nonsense guide to work out the real cost.
Limited company owners can save hundreds in tax thanks to the Employment Allowance, which allows companies to reclaim up to £5,000 in Employers’ National Insurance Contributions.
The dividend allowance means that the first £1,000 of dividends you receive are tax-free. But how does this allowance work in practice in the 2023/24 tax year?