[paulben]

do you pa 8% class 4 nics if you are self employed thought i just had to pay quartely (£2.20 a week) just written to tax man and told him to shove his class 4 . bet thats just got me a hol at her majestys pleasure lol

[Paul Coleman]

do you pa 8% class 4 nics if you are self employed thought i just had to pay quartely (£2.20 a week) just written to tax man and told him to shove his class 4 . bet thats just got me a hol at her majestys pleasure lol

Yes there is an extra NI payment once your profit margin climbs above a certain level (somewhere around the area where you start paying tax).  I think it's 8%.  It does (in theory) pay for your state pension and any NHS "care".  Don't know why you have a problem with it as the alternative is to rely on private medical insurance.  Not everyone can get that.

[dai]

Well, I have just had my tax bill and it's a grand more than I expected.
The accountant is taking the micky too, over £300 just to put the figures down on the tax return.
It won't happen next year, I am about to cut my hours dramatically.
Trading as a sole trader, not being able to claim a personal allowance for my wife as she no longer works with me, and paying tax on my state pension.
The accountant has only allowed me £315.00 for the use of a room as an office, telephone, heating, water the lot. They won't be getting my form to fill in next time.
Is it all worth it? May just as well retire and claim every thing I can.
 I am in dispute with the pension service as they have only paid me pension as a single guy. They admit that I am entitled to claim as a couple, but only want to back date it 3 months. I have been 65 since September 2007, they made a balls of it, and I'm the one that suffers.

[Tosh]

Well, I have just had my tax bill and it's a grand more than I expected.
The accountant is taking the micky too, over £300 just to put the figures down on the tax return.

Dai,

You're obviously a bright bloke who can read and write; so get the book 'Self Assessment for the Self Employed'; it'll be in your local library!

A sole trading window cleaner does not require an accountant; and not only that, doesn't your Missis fill your barrels and check your TDS readings?  I bet she washes your scrims too and does other business related stuff?

She's got a tax allowance you know! 

[dai]

Well, I have just had my tax bill and it's a grand more than I expected.
The accountant is taking the micky too, over £300 just to put the figures down on the tax return.

Dai,

You're obviously a bright bloke who can read and write; so get the book 'Self Assessment for the Self Employed'; it'll be in your local library!

A sole trading window cleaner does not require an accountant; and not only that, doesn't your Missis fill your barrels and check your TDS readings?  I bet she washes your scrims too and does other business related stuff?

She's got a tax allowance you know! 

Tosh they have got me over a barrel too, as my Mrs is in her early thirties I can claim a pension as a couple if she is not working, the moment she pays class 2 contributions I can only claim a pension for myself, her pension is worth £2500 a year. As a business partner we could claim £6035 for my wife's personal allowance, that would save me £1327 in tax so I am £1173 a year better off with getting a pension as a couple.
There is a possibility of employing her as casual labour to fill my barrels, I have to find out how much she can earn before the pension is affected.

[dai]

I have just checked up on this, you can pay your Mrs up to £90 per week to do any work for you, as long as she is not working elsewhere, there is no liability for her to pay either tax or national insurance contributions on this money. This would amount to £4500 a year off your tax liability, this works out as a saving to you of £990 at the standard rate. Better in your pocket than the tax mans.
If your Mrs/partner is not working, who looks after your RO unit during the day?