Don’t forget to pay your Corporation Tax – early.

Tax doesn’t have to be taxing as they say. In fact it can be quite profitable.

If you run as a Limited Company and you pay your Corporation Tax ahead of time, then the government will pay you interest on your money. What’s more surprising is that the rate is really rather good – currently 5% and likely to go up after the latest Bank of England rate rise earlier this month. The latest rate is on HMRC’s website

So rather than squirrelling money away in a deposit account, or worse just hoping you have enough to meet the bill when it turns up, why not just pay a percentage of your turnover to HMRC every month that will cover your expected tax bill. It’s worth your while and gives you solid peace of mind.

 (Once again this facility is not available to the self-employed, but then you can simply use an individual high interest account.)