accounting for contractors UK

Rated 5/5 on Google★★★★★
AAT QUALIFIED CONTRACTOR ACCOUNTANT

Contractor accounting handled properly and personally

I handle accounts, tax returns, IR35 compliance, dividends and corporation tax for UK contractors working through limited companies — so nothing falls through the cracks.

You deal directly with me, Luke Jackson FMAAT, on a fixed fee with same-day responses. No junior staff, no handoffs, no surprises.

★★★★★Google Review

“Would 100% recommend, is always polite, professional and helpful! His knowledge has been a saving grace many times.”

Sally Radford · verified client
Luke Jackson FMAAT, contractor accountant at Anchor Accounts and Books, Uttoxeter Staffordshire
7+ years of practice experience
AAT Level 4 qualified, FMAAT
5/5 rated on Google Reviews
Same-day responses, always
QuickBooks ProAdvisor and FreeAgent Partner

Is your contractor tax setup costing you money?

Answer five quick questions and get a clear picture of where your compliance stands and what to do next.

WHAT I DO

What I handle on your behalf

From your annual accounts to monthly payroll, I cover the full compliance picture for UK contractors operating through a limited company.

01

Limited Company Accounts and Corporation Tax

I prepare your year-end accounts and corporation tax return and file everything with Companies House and HMRC on time. As a director, the compliance is your legal responsibility — I make sure it is dealt with accurately and without fuss. You will know exactly what you owe and when, well in advance.

Annual compliance covered
02

Dividend and Salary Planning

Most contractors pay themselves a mix of salary and dividends to reduce their overall tax bill. I work out the right split for your income level each year and explain the reasoning in plain English. This is one of the most consistent ways contractors reduce what they pay to HMRC legally.

Tax planning included
03

VAT Returns and Making Tax Digital

If your turnover exceeds the VAT threshold, or you choose to register voluntarily, I handle your quarterly VAT returns and MTD-compliant submissions. I also assess whether a flat rate or standard VAT scheme makes more financial sense for your contract setup. Everything is filed on time, every time.

MTD compliant
WHY IT WORKS

Why clients come back every year

Contractors stay with me because they get straight answers quickly and their tax is handled by someone who knows their situation.

You always speak to me directly

I run Anchor personally. There are no junior staff and no handoffs. When you call or email, you get me — the person who knows your numbers. For contractors who want a real relationship with their accountant, not a different voice every time, this matters.

Fixed fees, nothing hidden

You know what you pay before we start. I do not charge by the hour or add surprise bills when you ask a question. Fixed monthly fees mean you can budget properly and ring me whenever something comes up without worrying about the clock.

Cloud accounting set up and managed for you

I am a QuickBooks ProAdvisor and FreeAgent Partner, and I work with Xero and Sage too. Whether you need a system set up from scratch or you already have software in place, I make sure your records are clean, current and ready for year-end. No more shoebox receipts.

FROM CLIENTS I WORK WITH

What clients say

★★★★★

“Luke sorted out my limited company accounts from the first year. I had no idea what I was doing with dividends and corporation tax, and he explained everything clearly without making me feel stupid. I have recommended him to two other contractors since.”

T.B.
IT Contractor, Limited Company Director
★★★★★

“I came to Luke after getting an HMRC letter about a missed filing. He dealt with it quickly, sorted my accounts out properly and I have had zero issues since. The fixed monthly fee means I know exactly what I am paying and I can ask questions any time.”

R.M.
Freelance Project Manager
★★★★★

“Luke handles my VAT, payroll and year-end accounts. I used to dread the year-end scramble. Now everything is tracked through QuickBooks and Luke takes care of the rest. It is exactly what I needed.”

S.P.
Independent Contractor
GETTING STARTED

How it works

Getting your contractor accounting properly sorted is straightforward and takes less time than you might think.

01

Book a free call

We have a short call where you tell me about your contracting setup, what you are currently doing and what is causing you concern. No obligation, no sales pitch. I will tell you honestly what you need and what it would cost.

02

I set up your accounting system

If you do not already have cloud accounting software in place, I set it up for you. I work with QuickBooks, FreeAgent, Xero and Sage, so we use whatever fits your workflow. If you have existing records, I review them and get everything into order.

03

You stay informed throughout the year

I handle your quarterly VAT, monthly payroll and any in-year tax planning. You get same-day responses when you have questions. There are no surprises because I keep you updated on what is coming and when.

04

Year-end handled and filed on time

I prepare your limited company accounts, corporation tax return and any personal self assessment, then file everything with HMRC and Companies House before the deadlines. You review and approve, then I do the rest.

COMMON QUESTIONS

Common questions

As a company director, you are legally responsible for filing accurate accounts and corporation tax returns with HMRC and Companies House. The penalties for late or inaccurate filing can be significant. Most contractors find that a specialist accountant pays for itself through tax savings alone, quite apart from the time and stress it saves.
Most limited company contractors pay themselves a low salary and take additional income as dividends, which are taxed at a lower rate than salary. The right split depends on your overall income level, the current tax thresholds and your personal situation. I work this out for you each year so you are not overpaying.
IR35 is the set of rules HMRC uses to decide whether a contractor is effectively an employee of their client. If you are caught inside IR35, you could face a significantly higher tax bill. I can help you understand your IR35 position and make sure your working arrangements are documented correctly.
Yes. A lot of contractors come to me having missed a deadline or received a letter from HMRC. The first step is understanding exactly what is outstanding and what the exposure is. I work through it calmly and get things back on track without fuss. The sooner you get in touch, the easier it is to resolve.