What is a Tax Account and how does it work?

A Tax Account* is an additional account you can create when you subscribe to Tide Accounting or Admin Extra. You can use it to set money aside specifically for taxes. *

It’s important to know that:

• Your main Tide account is the only account you can use to deposit or withdraw money from your Tax account – you can’t receive payments from other accounts.

• You can only make payments to HMRC for tax purposes.

You can set a goal for how much you want to save for taxes:

• If you run a Limited Company, you can do this manually.

• If you're a Sole Trader saving for Self Assessment, you can also link our ‘Self Assessment Estimate’ option to your Tax account, while choosing your target. This will automatically calculate how much you need to set aside for taxes based on your transaction data and payment categorisation.

To set or edit your savings goal in the app, tap: ‘Pay’ > select your Tax Account from stacked accounts > 'Admin goal' > ‘Edit’.

Once you have a goal in place, you'll see how much you've saved and your progress as a percentage. You can edit the goal anytime, unless it’s linked to the Self Assessment Estimate. * The Tide Instant Saver is different from the Tax account - it’s a savings account, which offers you interest on the money you deposit. You can learn more about it over on this page.