Clean It Up
UK Floor Cleaning Forum => Carpet Cleaning Forum => Topic started by: scott. on September 01, 2005, 08:43:10 pm
-
Anyone out there do there own accounts?
Having to do my own recently :o anyone know, under what expense catagory
our cleaning products come under?...cant seem to find one that fits :-[
could it be goods for resale or something else??
Also..is road tax allowable?
Help kindly appreciated ;)
-
Sorry to but in on a carpet cleaners' forum, but now you're into my new territory. ;)
Are you referring to the solutions you use for your everyday cleaning jobs, or do you sell them? Goods for resale would be items bought in which are then sold on, either as is, or in a modified state, so effectively it's a mini profit & loss acount against the sales value of those items.
The cost of solutions for a carpet cleaner would be a direct cost of services provided, so that's where they should fit in to your accounts. It's one of those items which is deductable from your revenue to calculate your gross profit. Then all your overheads (e.g. stationery) go below the gross profit line to calculate net profit.
It sounds to me you are running an off the shelf package which is designed to cater for everyone (but really caters for virtuallyy no one) such as Sage Accounts. Sage in particular is designed more for retail than service orientated businesses, but even with these packages, if there's an account you are never going to use, you can always change the name of the account through the edit function to something you want to use. You can also add accounts, but make sure that you (a) put it in the right section - in this case, as part of your direct costs, and (b) that you make sure you've added it into the package's chart of accounts, or your Profit & Loss accounts won't pick it up.
-
No mark, im refering to "collins" accounts book...got sage, but gave up...got an accountant, but he's on hols for a month..
-
In the weekly pages, there are blank spaces for things not listed, however, in the weekly summary pages at the back, there arnt any blanks for this...unless one of the named expences could be renamed...if this is allowed ::)
Is road tax allowed, as there is no mention of that either....sorry, new at this tax game ;)
-
anyone know....or dosnt anyone pay tax ;D
-
Not sure exactly what you want but broadly speaking cleaning materials have there own category.
Sales minus cleaning materials = gross profit
Gross profit minus expenses (including bank charges and depreciation) = net profit before tax
-
thanks dennis
Is the road tax for vehicles an allowable expense, do you know?
-
Vans yes (minus any proportion of private use!), private cars apportioned as a percentage of business use to private use. (Having said that I never have put anything related to cars through, makes it easier!)
ps If you are unsure phone up the Inland Revenue and ask, the staff I've dealt with are actually very nice and helpful. :-*
-
cheers again dennis...yes I meant vans
-
Scott,
I would advise you to go to an accountant as you apear to have little knowledge of tax law.
-
Scott,
as you apear to have little knowledge of tax law.
I'm not surprised!
It took nearly 200 years from the introduction of Income Tax for Britain's tax law to reach 4,555 pages in 1997. In just 8 years the Clown Brown has virtually doubled it to 9050 pages (Tolley's Yellow Tax Handbook). So much for simplification of the tax system!
As Michael Caine might say, "Notta lotta people know that" ;D