Income Tax and NI Liability

Hi,

I've just downloaded Solar Accounts and I'm trying to find my way around. When would you use the Income Tax and NI Liability account? I'm a sole trader and I assume my Income Tax and NI contributions would come from owners drawings?

Posted by Karl on Nov 3, 2009 1:21 PM GMT

Hi Karl,

Thanks for trying Solar Accounts. Yes you are correct - if you are self-employed, your income tax and NI payments are treated as owners drawings. The Income Tax and NI Liability account is only used when you employ other people. See here for details:
http://www.solaraccounts.co.uk/help/how-to-record-paye-and-ni-contributions.php

Cheers,

Posted by Mark McLaren (Solar Accounts) on Nov 3, 2009 1:59 PM GMT