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taxadvisor.uk
taxadvisor.uk, Chartered Certified Accountant
Category: Tax
Satisfied Customers: 4995
Experience:  FCCA - over 35 years experience as a qualified accountant (UK based Practitioner)
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how many small ventures can I have as a proprietor . Do I

Resolved Question:

how many small ventures can I have as a proprietor .
Do I have to combine the turnovers of all my ventures for vat registration or are they all judged indipendently
Submitted: 2 years ago.
Category: Tax
Expert:  taxadvisor.uk replied 2 years ago.
Hello and welcome to the site. Thank you for your question.

Please advise if you are trading as a sole trader or as a LTD company.

Many thanks.
Customer: replied 2 years ago.

I am a sole trader with a small lanscape gardening company which employs other traders and stays below vat threshhold.

I want to set up a seperate business in landscape design and advice and then act as a contracts manager to oversee the project.

Seperate equipment like software programes will be used and other subcontractors equipment will be used. Diferent vehicle etc.

i have a lot of interest so if it takes off the combined may take me over the threshold whic I dont really want.

Expert:  taxadvisor.uk replied 2 years ago.
Thank you for your reply.

The basis of calculation for VAT threshold is total value of everything you sell.
As a sole trader it is value of all ventures under your sole name as you register your self for VAT registration and not the business.

My recommendation would be to treat this new venture as a LTD company because the LTD company is a separate legal entity and its turnover is not added to your turnover as sole trader.

This way, both businesses can remain under VAT threshold.

More information on how to calculate VAT taxable turnover can be found here

https://www.gov.uk/vat-registration/calculate-turnover


I hope this is helpful and answers your question.

If you have any other questions, please ask me before you rate my service – I’ll be happy to respond.

Customer: replied 2 years ago.

is working as a self employed designer the same as being a sole trader. ?

and if I register a new company as a ltd company can i do that as there is only me involed. can i be a sole director.?

Expert:  taxadvisor.uk replied 2 years ago.
Thank you for your reply.

Working as a self employed designer - would be either a sole trader or in partnership - normally it would be as a sole trader.

LTD company can be formed with just one director only who is also the sole shareholder.

I hope this is helpful and answers your question.

If you are happy and there are no more issues I will appreciate if you would kindly rate/accept the service I provided to ensure I get credited for it.

taxadvisor.uk and other Tax Specialists are ready to help you
Expert:  taxadvisor.uk replied 2 years ago.
I thank you for accepting my answer.

Best wishes.