Bookkeeping
Bookkeeping in Bracknell
Bookkeeping involves recording the financial transactions & information of the business. The financial transactions should be updated regularly or daily if possible so that business owner has up to date, both financial & non-financial, records. This will be important because up to date records can help prevent the business from fines and penalty, including a penalty for VAT late registration as business owner is responsible for notifying HMRC (by registering their business for VAT by the deadline) when their taxable supplies reach the VAT compulsory registration threshold.
The financial transactions should be correctly categorised and recorded or the business could end up either over- or underpaying tax. The (self assessment or corporation) tax returns will be wrong too. Submitting an incorrect tax return may also be penalised.
For many businesses, bookkeeping requires proper skills and knowledge and is time-consuming so getting professional help may benefit them as they can focus their time on growing their business instead.
Our bookkeeping in Bracknell team is a collective of amazing people to provide professional services. We are very reliable and experienced and can help small and very small businesses with their bookkeeping needs. Contact our experienced team of bookkeeping in Bracknell today to see how we can help and the benefits we can make to your business.
Since the laws require businesses to record and keep accounting records, they must have their bookkeeping done and it should be done correctly and on a regular basis. This will help them to avoid penalties, including penalties from VAT late registraion and/or late filing of tax returns.
Businesses are reminded that their records must be accurate and be kept in a satisfactory state. They could face a penalty of up to £3,000 for an inaccuracy in the records or record keeping failures.
It will be beneficial for their business if they get help from our team of bookkeeping in Bracknell for their bookkeeping as the penalty, if £3,000, is far higher than the cost of paying accountants to keep their records satisfactorily.
Bookkeeping & Records Keeping
**The Importance of Bookkeeping for UK Businesses**
Effective bookkeeping is essential for every business in the UK, as it involves the meticulous recording of both income and expenses. This practice is not merely a recommendation; it is a legal requirement. Businesses must maintain their accounting records for a specified period, and failure to do so can result in penalties.
Proper bookkeeping simplifies the preparation of financial accounts and the self-assessment tax return process. Accurate recording and categorization of income and expenses ensure that these figures are correctly reflected in tax returns. Consequently, it is crucial to classify and record all financial transactions accurately; any discrepancies can lead to incorrect accounts and tax liabilities.
**Sole Traders and Partnerships**
For sole traders and partners in a business partnership, maintaining comprehensive records of business income and expenses (records keeping) is vital. They are required to keep these records for a minimum of five years following the 31 January filing deadline of the relevant tax year. Additionally, if the business is VAT registered, it must retain VAT records. If the business employs staff, records related to PAYE must also be maintained.
Moreover, authorities require business owners to keep records of their personal income. In a partnership, the nominated partner is responsible for maintaining records of the partnership’s financial activities.
**Limited Companies**
Limited companies are also obligated to keep detailed accounting records. The retention period for these records is six years from the end of the financial year to which they pertain. In addition to accounting records, companies must maintain information about their shareholders, directors, and financial transactions, including purchases and outstanding debts. It is important to note that failure to keep accurate accounting records can lead to disqualification of directors by HMRC.
In summary, diligent bookkeeping is not only a legal obligation but also a fundamental practice that supports the financial health and compliance of any business in the UK.
Reliable bookkeeping in Bracknell
At M&W Accountancy Services, we pride ourselves on our extensive experience and unwavering reliability in delivering top-notch bookkeeping services to small and micro businesses in Bracknell and the surrounding areas. Our commitment to flexibility allows us to tailor our services and fees to meet your unique needs.
If you are seeking dependable services for your business bookkeeping in Bracknell, look no further. We are recognised as one of the premier providers in the region.
Contact us today to take advantage of our complimentary initial consultation and discover how we can support your business’s financial success.