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Do small businesses work for the government? Watch

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    The goverment takes all their profit in the form of business rates, income tax, council tax, terrorism insurance. So in other words, if you own a small business you are effectively working for the government.
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    (Original post by calico321)
    The goverment takes all their profit in the form of business rates, income tax, council tax, terrorism insurance. So in other words, if you own a small business you are effectively working for the government.
    With that sort of logic you are doomed. Doesnt your business make a profit?
    They dont have any say in what you do or for how long, thats up to the business. Businesses work for themselves.
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    It depends what sort of business we are talking about. I used to work for a small software company that paid almost no rates because it was a startup on a science park and because the nature of the business was R+D (something the government values) we got tax back. Had we managed to own at least one patent, we would have got even more tax back.
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    Well up here we have rates relief below £15,000 RV, so if you operate commercial property and your aggregate RV is less than £15,000 you pay no rates. In addition if you did pay rates re your business premises it would be an expense deducted before arriving at the profits figure anyway.

    Plenty of small business entities make profits and pay tax on them, if they did not I would have no clients. What is true is a fair few do not make much more than they would if working for someone else in an employed capacity.

    There are plus points, 2 days a week (4 if I count weekends) I work for myself, I can do what i like on these days, my choice.

    It also depends how you define self employed, some will say also operate through a small private company, some have grown and have a scale that maybe earns them £100,000, £200,000 or more per year. (Just completed a set of accounts last week for a client who operates with two employees who had pre tax profit just shy of £500,000-yes, a good year, usually only £250,000-£300,000)

    Not all the self employed barely eke out a living.
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    (Original post by calico321)
    The goverment takes all their profit in the form of business rates, income tax, council tax, terrorism insurance. So in other words, if you own a small business you are effectively working for the government.
    2/10 for effort troll
 
 
 
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