Partnership Accounts

If two or more people wish to go into business together, but without having the extra disclosures necessary with a limited company then a partnership offers a simple way to get started.

Similar in many ways to a sole trader as in essence a Partnership is a group of Sole Traders trading together a partnership has no legal status, as a Limited Company would.

We at KRA advise all partnerships to have a Partnership Agreement which acts like a constitution of the Partnership

The Partnership will have to prepare Partnership Accounts which will show each partners share of the profits.  These Partnership Accounts will then be used to complete the annual Partnership Tax Return and a Partnership short tax return for each  Partner showing their share of the profits for tax purposes.

The Partnership short tax return will be added to their personal tax return showing their share of profits.

The Partnership Accounts will be prepared using the generally accepted accounting practices and we will ensure we include all the expenses possible within the rules and make sure you pay the correct amount of tax and no more at the correct time and as far in the future as possible.

How we can help

If you would like to discuss any of the above please contact KR Accountants so we can arrange a No obligation FREE initial meeting to carry out a business review were we will offer you a FIXED FEE accountancy service with no hourly charges or hidden costs.