Chapter 1: The Accountant Dilemma

When I embarked on my entrepreneurial journey, I faced my first significant question: does my newly established business really need an accountant?

To kick things off, I chose to set up a sole proprietorship using a lump-sum tax system, which is deemed the most straightforward and cost-effective business model in my country. Many people claim that because this business structure is simple, hiring an accountant is unnecessary. The business owner is required only to maintain records of income in the "Book of Income" and submit a single form to the Tax Administration — a report detailing lump-sum income from self-employment and the corresponding income tax and surtax.

Initially, I pondered the idea of forgoing an accountant. However, as the paperwork began to accumulate, I quickly became overwhelmed and reconsidered my choice. A provisional tax notice arrived, indicating that I needed to remit contributions quarterly. I wrongly assumed I had several months before any payments were due, as the term "quarterly" suggested. To clarify, I reached out to an accounting office based on a friend's recommendation. The accountant informed me that I was already in arrears since contributions are actually due for the preceding month (it was now September, and I had started my business in August), meaning they are paid monthly. The mention of "debt" triggered a wave of anxiety.

My neighbor, who had successfully launched her business a year prior, assured me that immediate payments weren't necessary and that quarterly payments were acceptable. Despite the expectation to rely on official guidance, my prior experiences left me skeptical, leading me to trust my neighbor’s advice. During discussions with the accountant, I expressed my intention to work with international clients and emphasized the need for someone familiar with such cases. Unfortunately, she never confirmed her experience in this area, repeatedly indicating that it was complicated, which prompted me to explore other options.

I often find valuable insights in Facebook groups, so I took to them to seek clarification on my obligation to pay the initial contributions. Opinions were divided; some said contributions were quarterly, while others insisted they were monthly, leaving me thoroughly perplexed.

This is merely one instance highlighting the complexities surrounding what seemed like a straightforward document.

After inquiring at the tax office about the procedure for Medium, I learned that upon receiving payment, I needed to submit two forms by the 20th of each month, and the staff provided guidance on what to complete. That seemed manageable. However, I also intended to engage with additional foreign platforms, each with its own set of rules. To ensure I didn’t overlook anything, I decided that hiring an accountant was the best path forward.