Absolutely, there exist specific thresholds concerning bookkeeping basics within the realm of electrical items sales and services.
In the United Kingdom, when your business surpasses a taxable turnover of £85,000 in the preceding fiscal year,
you are obligated by law to maintain comprehensive documentation of all financial transactions associated with your business activities. It’s imperative to retain these records for a minimum of six years.
If your business’s taxable turnover is below £85,000, you are not legally required to keep full records of your business’s financial transactions.
However, it is still advisable to keep some basic records, such as invoices, receipts, and bank statements.
This will help you to track your business’s finances and make sure that you are compliant with tax law.
The threshold limit for bookkeeping for electrical items sales & services may vary depending on the country or jurisdiction.
It is important to check with your local tax authority to confirm the specific requirements for your business.
Here are some of the records that you may need to keep for your electrical items: sales & services business:
1. Invoices:
Invoices should include the date of sale, the name and address of the customer, the description of the goods or services sold, and the price.
2. Receipts:
Receipts should document all of your business expenses, such as purchases of goods and services, travel expenses, and entertainment expenses.
3. Bank statements:
Bank statements should show all of the transactions that have been made into and out of your business bank account.
4. Petty cash records:
If you use petty cash, you should keep records of all of the petty cash transactions, such as the purpose of the expense, the amount of the expense, and the date of the expense.
5. Inventory records:
If you sell goods, you should keep records of your inventory, such as the quantity of goods on hand, the cost of the goods, and the date the goods were purchased.
6. Tax records:
You should keep all of the records that you need to file your taxes, such as your income statement, balance sheet, and receipts for any deductible expenses.
To visit: https://www.incometax.gov.in
For further details access our website: https://vibrantfinserv.com