Trusted Tax Solutions with ZahTax
ZahTax is an independent firm of Chartered Certified Accountants offering Online Tax Return Accountant services for individuals, self-employed professionals, and businesses. Our specialist team of tax experts ensures compliance with UK tax regulations while maximizing deductions and minimizing liabilities.
Our team of experienced tax accountants provides tailored tax solutions for a wide range of clients, including individuals, freelancers, small businesses, and expatriates. Whether you need assistance with self-assessment tax returns, capital gains tax, or business tax filings, we simplify the process for you.
- Chartered Certified Accountants
- Fixed Fee Services
- Tax Liability Minimisation
What Does an Online Tax Return Accountant Do?
An Online Tax Return Accountant specializes in preparing and filing tax returns efficiently. They help individuals, self-employed professionals, and businesses comply with tax regulations while minimizing tax liabilities. With extensive knowledge of UK tax laws, they provide tailored solutions to ensure accuracy and maximize deductions.
Filing your taxes can be complicated, but with ZahTax’s Online Tax Return Accountant services, you get expert assistance without the hassle. Our qualified accountants ensure your tax return is accurate, compliant, and optimized for maximum savings—all from the comfort of your home.
Benefits of Starting a Business as a Self-Employed Sole Trader
Becoming self-employed and operating as a sole trader is one of the easiest and most flexible ways to start a business in the UK. It’s the simplest business structure, with minimal compliance requirements compared to limited companies. Many first-time entrepreneurs choose this route because of its low cost and ease of setup.
Here are some key benefits of being a sole trader:
- You keep all the profits from your business
- Start-up and running costs are low, making it ideal for new ventures
- Easy to manage and close the business when needed
- Full control over day-to-day operations and decision-making
- Greater privacy, as your financial information is not publicly disclosed
- Easy Accounting and Tax Filing
- Fewer Regulatory Requirements
- Lower accountancy fee cost compared to limited companies
What Taxes Do I Have to Pay as a Sole Trader in the UK?
As a sole trader in the UK, you’re responsible for paying income tax, Class 2 National Insurance, and Class 4 National Insurance on your business profits, if they exceed certain thresholds. These taxes are reported through your sole trader tax return, submitted via the HMRC self-assessment system. Understanding your tax obligations is essential to avoid unexpected bills and penalties. A qualified accountant for self employed individuals can help you calculate your liabilities accurately, claim allowable expenses, and ensure your tax return is filed correctly and on time.
Income Tax and National Insurance Rates for Sole Traders (2025/26)
Income Tax Rates 2025/26
Tax Type
Band / Threshold
Rate
Notes
Income Tax
Up to £12,570
0%
Personal allowance – no tax payable
Income Tax
£12,571 – £50,270
20%
Basic rate band
Income Tax
£50,271 – £125,140
40%
Higher rate band
Income Tax
Over £125,140
45%
Additional rate – no personal allowance available
National Insurance Rates
Class 2 & Class 4 NI contributions
National Insurance
Band / Threshold
Class 2 NICs
Profits over £6,725/year
£3.45 per week
Flat rate if profits exceed threshold
Class 4 NICs
£12,570 – £50,270
6%
Charged on taxable profits
Class 4 NICs
Over £50,270
2%
Charged on profits above this threshold
Key Tax Deadlines for Self employed Taxes
- Paper Tax Return Deadline: 31 October (after the end of the tax year). Example: For the 2024/25 tax year (which ends on 5 April 2025), the paper return deadline is 31 October 2025
- Online Tax Return Deadline - 31 January. Example: For the 2024/25 tax year, the online return must be filed by 31 January 2026
- 31 January – Deadline to submit your online Self Assessment tax return.
- 31 January – Deadline to pay any tax owed for the previous tax year, including the first payment on account (if applicable).
- Late Filing by 1 day: £100 penalty if your return is up to 3 months late; more if it’s later
- Late by 3 Months: Additional Penalty - £10 per day, up to a maximum of £900.
- Late by 6 Months: Further Penalty - The greater of: £300 or 5% of the tax due. This is added on top of the previous penalties.
- Late by 12 Months: Additional Penalty - The greater of £300 or 5% of the tax due. n serious cases (e.g., deliberate concealment), this can increase to 100% of the tax due.
How Zahtax Can Help Self employed Businesses
At ZahTax, we are specialist Accountants for Self Employed individuals, providing expert support tailored to the needs of sole traders across the UK. Whether you’re just starting out or need help staying compliant, our services cover all aspects of sole trader accounting and tax.
We can assist you with:
- Registering your sole trader business with HMRC
- Setting up online accounting software for efficient record-keeping
- Advising on allowable business expenses to maximise your tax savings
- Ongoing support and expert advice on accounting and tax compliance
- Guidance on claiming all legitimate expenses to legally reduce your tax bill
- Preparation of annual sole trader accounts
- Accurate completion and filing of your sole trader Self Assessment tax return
- Calculation of your sole trader tax liability
- Submission of your tax return directly to HMRC, ensuring timely compliance
As a trusted Accountant for Self Employed professionals, we help you focus on running your business while we handle the numbers.
For more information or to book your free consultation, contact us on 020 8191 9583 or email info@zahtaxaccountants7567.live-website.com
Frequently Asked Questions
Get answers to common questions about sole trader tax requirements and our services.
What is the deadline for sole trader tax returns?
The deadline for online self-assessment tax returns is 31st January following the end of the tax year. For the 2023/24 tax year, the deadline is 31st January 2025. Paper returns must be submitted by 31st October.
Do I need to register as a sole trader?
Yes, you must register with HMRC as soon as you start self-employment or by 5th October in your business’s second tax year, whichever is earlier. You can register online through the HMRC website or we can help you with the registration process.
What expenses can I claim as a sole trader?
You can claim expenses that are wholly and exclusively for business purposes, including office costs, travel expenses, equipment, professional fees, insurance, and marketing costs. We can help you identify all allowable expenses to minimize your tax liability.
How much does your sole trader tax service cost?
We offer fixed-fee pricing for transparency. Our sole trader tax return service starts from £299, which includes preparation and submission of your self-assessment, advice on allowable expenses, and ongoing support throughout the year.
What's the difference between sole trader and limited company?
As a sole trader, you and your business are legally the same entity, and you pay income tax and National Insurance on profits. A limited company is a separate legal entity, and you typically pay corporation tax on profits and income tax/NI on salary/dividends. We can advise which structure is most tax-efficient for your situation.
Do I need to keep records as a sole trader?
Yes, you must keep records of your business income and expenses for at least 5 years after the 31st January submission deadline. This includes invoices, receipts, bank statements, and records of business mileage. We can help you set up an efficient record-keeping system.
Can you help with VAT registration?
Yes, we provide complete VAT services including registration, returns, and advice. You must register for VAT if your taxable turnover exceeds £85,000 (2023/24 threshold), but you can also register voluntarily. We’ll assess whether VAT registration would benefit your business.
Online Tax Return Accountant
Trusted Tax Solutions with ZahTax
ZahTax is an independent firm of Chartered Certified Accountants offering Online Tax Return Accountant services for individuals, self-employed professionals, and businesses. Our specialist team of tax experts ensures compliance with UK tax regulations while maximizing deductions and minimizing liabilities.
Our team of experienced tax accountants provides tailored tax solutions for a wide range of clients, including individuals, freelancers, small businesses, and expatriates. Whether you need assistance with self-assessment tax returns, capital gains tax, or business tax filings, we simplify the process for you.
What Does an Online Tax Return Accountant Do?
An Online Tax Return Accountant specializes in preparing and filing tax returns efficiently. They help individuals, self-employed professionals, and businesses comply with tax regulations while minimizing tax liabilities. With extensive knowledge of UK tax laws, they provide tailored solutions to ensure accuracy and maximize deductions.
Filing your taxes can be complicated, but with ZahTax’s Online Tax Return Accountant services, you get expert assistance without the hassle. Our qualified accountants ensure your tax return is accurate, compliant, and optimized for maximum savings—all from the comfort of your home.
How ZahTax Can Help You?
Accurate & Hassle-Free Filing – Our expert accountants prepare and file your taxes correctly, reducing errors and avoiding penalties.
Maximize Tax Savings – We identify deductions, allowances, and credits to minimize your tax bill legally.
Time-Saving & Convenient – No need for in-person visits. Submit your documents securely online and let us handle the rest.
Expert Advice & Compliance – Stay compliant with HMRC regulations with our professional guidance and up-to-date tax knowledge.
Secure & Confidential Process – Your financial information is protected with the highest security standards.
Who Can Benefit from Our Services?
Salaried Individuals – Get assistance with self-assessment tax returns.
Freelancers & Contractors – Manage income tax and allowable expenses effectively.
Small Business Owners – Ensure compliance with business tax regulations.
Expats & Non-Residents – Navigate cross-border tax complexities effortlessly.
How It Works
Get Your Taxes Done Right