We offer a standard service for most Partnerships. Generally this will include the following:
1) Advice on how to keep proper records (It should not normally be necessary to purchase expensive accounting software for this process). This will also include what you can and cannot claim in relation to your business.
2) Production of your Partnership annual accounts in readiness for your tax liability calculation.
3) Registration of your Partnership with HMRC which includes your individual tax returns.
4) After agreement, submission of your annual Self Assessment Tax returns to HMRC.
This takes the form of your Partnership Return and your Individual Tax Returns.
One annual fee is set and agreed with you payable after completion of the work.
You will receive a letter of engagement fully detailing the work to be carried out by us which will include a fixed rate fee for the year.
The initial face to face consultation will be free of charge and is recommended in order to gauge your individual requirements and to give advice.
Letters, certifications of income, references and other types of correspondence to other business entities will be charge separately at £40. Reasonable emails requesting information or general phone enquiroies will be free of charge
The Annual Fee for a Partnership should generally be in the region of £600 to £800, based on two partners and depending on the level of transactions and other variable factors.
General Information regarding a Sole Trader
The business partnership and individual partners must register for Self Assessment with HM Revenue & Customs (HMRC) and follow certain rules on running and naming the business partnership.
Register for Self Employment
You’ll need to choose a ‘nominated partner’ – the partner responsible for managing the partnership’s tax returns and keeping business records.
The nominated partner must register the partnership and themselves for Self Assessment. The other partners register separately, they usually do this after the partnership is registered.
You can register for Self Assessment with HMRC.
In a business partnership, you’re running a business as a self-employed individual but all the partners share responsibility for the business. You can share all the profits between the partners and each partner pays tax on their share of the profits.
Both the nominated partner and individual partners are responsible for:
- sending their personal Self Assessment tax return every year
- paying their Income Tax on their share of the partnership’s profits
- paying their National Insurance
- any losses the business makes
- bills for the business – eg when they buy stock or equipment
The nominated partner must also send the partnership’s tax return.
Naming your Partnership
You can use your own names or trade under a business name. There are rules on using a business name, you can’t:
- use the terms ‘Limited,’ ‘Ltd’, ‘public limited company,’ ‘plc,’ ‘limited liability partnership,’ ‘LLP’ or their Welsh equivalents
- use ‘sensitive’ words or expressions unless you get permission
- suggest a connection with government or local authorities
- use a name that is too similar to a registered trademark or an existing business in the same area or sector
- be offensive
You usually have to include all the partner’s names as well as your business name (if you have one) on any official paperwork, like invoices and letters.