Thursday, January 30 15:06:42
For anybody currently out of work and considering starting their own business the government's new, Start your Own Business (SYOB) scheme could be of great help.
Availing of this scheme means sole traders will not have to pay any income tax on the first E40,000 they make for two years. You need to have been unemployed for 12 months before you start the new business but time spent on training courses and schemes will be treated as time spent unemployed.
Greg Murphy, owner of TaxAssist Accountants, a network of accountancy shops that works with over 4,000 small businesses nationally said 'This is a really welcome measure. I work with a lot of people starting a new business and the first few years are hard cash-flow wise. Sometimes new businesses just cannot find the cash to pay their tax bill and they end up taking out loans. This new scheme will give people a bit of breathing room in those all important first years'.
SYOB is geared towards people setting up as sole traders or in partnerships; the new business cannot be a limited company.
You don't have to operate in any particular industry and you do not have to be pre-approved by the social welfare.
Murphy gave the following advice to any would be entrepreneurs: 'It is important to remember that you will still have to file a tax return with the Revenue Commissioners even though no tax is due. We offer free start-up guides which bring you through all the 'need to know' to all interested parties at our branches'.