Sole Trader Accountant

Sole Traders are individuals who operate their business independently with no separate legal identity between the business and the business owner. This means, if the business is not able to meet its obligations, then the personal pocket of the sole traders would be utilised. Our sole trader accountants help you stay on top of your self-employed finances, giving you more time to focus on running your business.

What are Sole Traders?

What are Sole Traders?

Sole Traders are individuals who operate their business independently with no separate legal identity between the business and the business owner. This means, if the business is not able to meet its obligations, then the personal pocket of the sole traders would be utilised.

Accounting and Tax Services for Sole Traders

Major Challenge for Sole Traders 

With stringency with the law, the burden over Sole Traders has increased quite a lot. There are very hard challenges faced by them with the compliance of accounting and taxation laws amidst carrying out their day-to-day business operations. Consequently, it takes lot of time for them to comply with regulations, time which could instead be allocated to important business practices. Hence, this whole system of compliance needs automation to save time and effort.

Also, the majority of Sole Traders are not well versed with accounting and tax structures, hence why they need some professionals who can handle their compliances.

How Tax Care Can Help?

We have derived an automated cloud-based solution by integrating finance, accounts, payroll and tax into one system. Tax Care will care for all of your accounting and tax compliances so you will have time to make your business decisions.

Ultimately, this will reduce a lot of time and effort for Sole Traders to instead focus on important business practices and solutions. We provide the best and cheapest Personal tax and Sole Trader package starting at only £29.95 per month.

Registered chartered accountants in London

Benefits of Sole Trading

No sharing of Profit

No additional compliance burdens

No additional compliance burdens

No separate tax returns are submitted for business as it belongs to Sole Trader itself. Hence sole trader’s return and business return are same.

No need to submit financial statements to Companies House as you are not operating a Company.

However, while enjoying above benefits, Sole Trader still needs to maintain the records of all Income and Expenses in a HMRC approved format. Working with us, you don’t need to worry about maintaining these records as we will take care of all such accounts maintenance digitally and reduce paperwork.

Why should You Hire Us?

When to Register as a Sole Trader?

Every business has once started its growth day by day, and when its size increases it will generate more revenue that will ultimately lead to more taxes as well. Therefore, every business needs to get registered with tax authorities as self-assessment, so they can collect taxes from you.

Self-assessment means you will be assessing your tax bill based on the profitability of your business and submit your tax return along with paying the assessed tax. If you fail in registering there may be heavy fines. HMRC is the tax authority with which you need to register your business.

However, HMRC allows Sole Traders to earn income up to £1,000 without registering or paying any taxes. Thus, a Sole Trader may consider not registering with HMRC until their income reaches £1,000. However, it is advisable to register as Sole Trader with HMRC at the start of your business as it will benefit you. In case your business incurs losses in its initial stages, you can use these losses to set off against future income if your business is registered with HMRC. Otherwise, you won’t get benefits for initial losses.

As and when income goes over £1,000 during the tax year, you must register with HMRC by 5th October of the year following the tax year (which is April 6th to April 5th) when your business income exceeds £1,000.

When to Register as a Sole Trader?

How to Set up as a Sole Trader?

To register as a sole trader with HMRC, you must follow these steps:

  • Set up a HMRC government gateway account by visiting HMRC portal
  • Enrol for self-assessment online by filling out the HMRC application form
  • Wait for your UTR number. The UTR is a reference number issued to anyone in the UK who needs to complete a self-tax assessment. If you submit tax returns to HMRC, you’re required to have a UTR number.
  • Wait for your activation code so that you can complete the registration of your HMRC online account.

You will also need to register for VAT when your turnover goes over £85,000. However, it is advisable to register for VAT at the beginning itself.

How to Set up as a Sole Trader?

Your Responsibilities as a Sole Trader

As a Sole Trader, you will need to:

  • Keep records of your business’s income and expenses
  • Submit a tax return to HMRC each year
  • Pay Income tax on your profits

How Tax Care Can Add Value to Sole Trader Business?



Our cloud base software enhances the quality of legal compliances in a very smooth manner. Tax Care will simplify your accounting process and integrate them into one cloud-based accounting system. This will change the paradigm from a paper-based record keeping to complete digitalization of invoices, reports, documents, returns and much more. This cloud-based software has some unique feature to scan your records and keep them in the software for 7 years. This system will eliminate stacks of papers and losing important documents.

Personal Accountant

Once you join us, a Personal Accountant will be assigned to you who will assist you in every manner, and one of our senior accountants will finalise the work. They will explain your situation and answer all the queries you may have. Also, with cloud-based software, you don’t need to send us your books and records every time since your personal accountant will have real-time access of your records and they will assist you in case of any challenges.

Unlimited Business Advice

Tax Care Accountants are equipped with expertise in the field of Accounting and Taxation. Your Personal Accountant will solve all your problems with his experience and provide unlimited business and tax advice to support you.

Efficient Tax Planning

We will perform efficient tax planning for you. Our professional accountant (or your personal accountant) will guide you in saving your tax bill by claiming all allowable expenses, deductions and exemptions to a highest level. This tax planning to estimate the tax burden will be done at the beginning rather than getting year end surprises. It will help you to reduce the tax bills and financial stress.

Mobile Application

Our software comes with a mobile application which allows access to users from anywhere. This app allows users to scan and capture the expenses with just a touch so as and when when you scan your receipts, the app will automatically analyse the receipts, enter the data and send it to your accountant.       

With the help of this mobile app, you can access your live business data, and download any report or payslip on any device from any part of the world. It provides for great simplicity, monitoring your business performance from anywhere, and saves a lot of time.

Ensuring Business Growth

Being a Sole Trader, you don’t need to spend a lot of time studying your accounts and taxes. Rather, we will be taking this responsibility. You can use this time to develop important business plans, strategies, decisions and business growth. We will be providing all the details of your business performance in financial terms without fail or delay.     


Our vision is to ensure quality and value addition for our clients and that is the reason Tax Care is an award-winning accounting firm. Our team includes specialized accountants who have wide range of experience in accounting and taxation and possess required certifications. Their goal is to deliver best quality output and connecting sole traders with big affordable technologies.

Fund Management

Your personal accountant will analyse your business operations and understand the flow of your expenses, incomes, assets and liabilities. Based upon this, they will guide about your future cash position so that you can plan to arrange the funds for future, if needed. Your personal accountant will support you in other financial matters as well.

Timely Compliance

Our efficient tax management tool ensures timely compliance of your tax returns as a Sole Trader which can result in heavy penalties, interests and fines, if delayed. We also send reminders prior to any deadlines to avoid any surprising penalties from HMRC or pension regulators.

We Have Great Answers


Yes, Tax Care Accountants is a certified accounting firm with a valid practicing certificate. Particularly, the firm is fully compliant with HMRC Anti Money Laundering (AML) regulation requirements. Above all, every single client manager at Tax Care is a qualified accountant with industry experience who will be taking care of your business. Overall, the firm is regulated and supervised by the Institute of Financial Accountant (IFA) and HMRC recognised Tax Agent.

Overall, we work on the basis of a fixed fee with no hidden cost, you will know exactly what and how much you are paying for.

In general, most of our clients pay monthly by setting up a direct debit or standing order. However, you can also pay your fees by instalments.

Yes. Particularly, our clients are fully protected in case if there is a worst-case scenario of a huge loss.

We strongly believe the significance of the popular accounting quote “ behind every successful business there is a smart accountant”. At Tax Care we work as a virtual extension of your company in order to free up your time, we advise you on how to save money and provide you the key financial information in order to make informed decisions. We will simplify your payroll, accounting and financial functions of your business and integrate all in one system. That will help you to collect all relevant business information with one click. Your accountant can also help you analyze and understand your cash flow, so you can make better plans on how to work out your monthly budget, sale target, break-even etc. We make sure your employees are paid correctly while your business is compliant with HMRC requirements, pension regulator requirements, court order requirements.

Our accountants have over 5 years of experience in the SME business community and their expertise and knowledge covers all business sectors – whatever your business, we cover it.

Yes, we do. We fully understand the pressures that you are under and offer a wide range of commercial experience which can help with the development of your growing business. We believe a little growth in your business means a little growth in our business.

Properly projecting your business’s cash flow is as essential as creating an effective mission statement and living up to it. Tedious, detailed flow projections aren’t easy to wrangle, but that’s what you have an accountant for.

Your accountant should be able to help you develop an organised, effective cash flow model that allows you to adjust your operations in ways that help you survive shortfalls, as well as improve receivables and manage payables.

Particularly, as a member of IFA Tax Care Accountants must comply with continuous professional development regulation in order to keep up-to-date with current issues and regulations. We regularly attend various seminars and training workshop regarding recent updates on accounting softwares, finance acts and government regulations.

No, Tax Care Accountants will manage all aspects of your business financial activities so you can focus on running and growing your business.

In summary, a professional certified accountant will be dealing with you directly to meet all of your accounting and tax requirements. Overall, we work as a team and one of the senior accountants will finalise the work.

Altogether, you can contact us as many times as you want to. For example, you can contact us via telephone, email or face-to-face. Also, if necessary, we will visit you. In detail, we will explain to you the technical accounting terms and the accounting requirements in a simple language so you would know what to do and how to do it. Generally, our response time is 24 hours.

Above all, taxes are always part of running a business, and you can always look for ways to improve how you handle payments, deductions, record-keeping, and so on. Therefore, your accountant, the expert on tax laws and their constant changes, can give you the insight you need.

For instance, your accountant can help you answer questions like:

  • What are the latest changes in tax law that affect my business?
    When is the best time to make big equipment purchases?
    How can I best keep track of deductions?
    How can I maximise my tax savings?

This might seem like too simple a question, but clear, effective and frequent communication is the key to a healthy, beneficial relationship with your accountant. Establish early on how often you’ll connect, either in person, on the phone or online (via a video chat app like Skype, Google Hangouts or FaceTime). Decide together if you’ll meet weekly, monthly or bimonthly.

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So, let's be happy together

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