Self employed tax due

[hevvybear]

Hi,
My husband has started working as a self employed taxi driver about 3 months ago. He has an accountant and I have asked him to check with his accountant how much he should be putting aside each month so that come April he has that money prepared for his taxes and national insurance. Obviously I'm not 100% sure of what his final income will be as ita not been long but I'd say it could be approximately £35000 (not including expenses) . He's spoken to his accountant today and apparently he's been told that after he puts all his expenses through etc he'd be looking at paying around £1000 A Year! Surely there is no way this can possibly be correct? Does anyone have any experience in how much tax is a realistic amount he should be setting aside?
Thank you in advance

[ULA]

How much tax your husband will pay as a self-employed person will depend on how much money he makes and the ‘allowable expenses’ he has incurred in the course of running his taxi business. Certain business-related expenses can be subtracted from his income when calculating the taxable profit.

The tax-free personal allowance and the tax bands are the same for self-employed and employed people, so for 2019-20 he can make up to £12,500 before needing to pay tax. He will then pay the basic rate of income tax (20%) on income up to £50,000. The higher rate of 40% then applies to income over £50,000, up to £149,999. He will also have national insurance to pay.

Therefore, as a “rule of thumb” I would suggest 30% of his income should be retained for his potential tax liability. Maybe put it in a high interest account (if there are any of them around at the moment) so it is at least earning something for him. Hopefully that will then cover most if not all of any tax liability he has, if it is more than is due then that will be a bonus.

Hope that helps but if you have any more questions just come back and ask.