Clean It Up
UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: PurefectWindowCleaning on January 23, 2012, 05:40:02 pm
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that upon finding out your tax bill, you should go out and spend that same amount (or near enough) on something for business use, so that its deducted from next years tax bill, and so on, and so on? So that your not just in effect throwing the tax man money?!
I really should know all this by now... ::)
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Lol not really.
Example ..turnover 20000 profit 15000. 15000 minus your personal allowance and your expenses = 10000 left to pay tax on just for example ...
If you bought a pole for 1000 pound that 1000 is classed as capital so the whole 1000 would come off the 10000 taxable leftover. In this case the pole might not be a capital allowance you'd have to check. But that's the just of it.
So if you had 100000 instead of the 10000 you could for example by a new van cost 30 k and only pay tax on the remaining 70k. Hope that helps some what
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you need a flash car for canvassing and marketing purposes ;D
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Lol not really.
Example ..turnover 20000 profit 15000. 15000 minus your personal allowance and your expenses = 10000 left to pay tax on just for example ...
If you bought a pole for 1000 pound that 1000 is classed as capital so the whole 1000 would come off the 10000 taxable leftover. In this case the pole might not be a capital allowance you'd have to check. But that's the just of it.
So if you had 100000 instead of the 10000 you could for example by a new van cost 30 k and only pay tax on the remaining 70k. Hope that helps some what
Well that's what the guy said,
if profit was 10000 and he bought a van for 10000, business maid no profit this year so nothing to pay in taxes
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Lol not really.
Example ..turnover 20000 profit 15000. 15000 minus your personal allowance and your expenses = 10000 left to pay tax on just for example ...
If you bought a pole for 1000 pound that 1000 is classed as capital so the whole 1000 would come off the 10000 taxable leftover. In this case the pole might not be a capital allowance you'd have to check. But that's the just of it.
So if you had 100000 instead of the 10000 you could for example by a new van cost 30 k and only pay tax on the remaining 70k. Hope that helps some what
Well that's what the guy said,
if profit was 10000 and he bought a van for 10000, business maid no profit this year so nothing to pay in taxes
I was thinking that lol
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Yea all good then. Good luck with it all
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So every year I can buy a new van and have no tax to pay... in therory?
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So every year I can buy a new van and have no tax to pay... in therory?
No, not unless you are keeping the van you bought the year before.
I think you either need to do alot of reading or talk to an accountant before you get yourself in a financial mess.
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So every year I can buy a new van and have no tax to pay... in therory?
No, not unless you are keeping the van you bought the year before.
I think you either need to do alot of reading or talk to an accountant before you get yourself in a financial mess.
Very true. Or ask the lads down the pub :o
Cant beat asking the professionals best way to go about it, how best to maximise things.
I asked my accountant similar question as to when to upgrade van. He made the point that if i spend 10k on a van, i benefit by saving 2.5 k approx (tax and national insurance savings), but as he said, ive still spent 10k out (or 7.5k then).
So it saves your tax bill, but its still money your spending.
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So every year I can buy a new van and have no tax to pay... in therory?
No, not unless you are keeping the van you bought the year before.
I think you either need to do alot of reading or talk to an accountant before you get yourself in a financial mess.
@ Scud: What part of in therory didnt you understand??!!
@ AS Window Cleaning: The point im making is, lets say for example your tax bill is £1000, aswell as paying the tax man this, you should go out and spend £1000 on a van/equipment etc, just so that it can then come off next years tax........
@ Scud again: Im far from a financial mess mate #minted
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that upon finding out your tax bill, you should go out and spend that same amount (or near enough) on something for business use, so that its deducted from next years tax bill, and so on, and so on? So that your not just in effect throwing the tax man money?!
I really should know all this by now... ::)
What you going to live off then?
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So every year I can buy a new van and have no tax to pay... in therory?
No, not unless you are keeping the van you bought the year before.
I think you either need to do alot of reading or talk to an accountant before you get yourself in a financial mess.
@ Scud: What part of in therory didnt you understand??!!
@ AS Window Cleaning: The point im making is, lets say for example your tax bill is £1000, aswell as paying the tax man this, you should go out and spend £1000 on a van/equipment etc, just so that it can then come off next years tax........
@ Scud again: Im far from a financial mess mate #minted
It seems a very odd question to ask in "theory", not the first one you have asked being muddled about tax either from what I recall.
Also, if you are "minted", I would suggest you may not be for long unless you get an accountant, but then again I suppose asking faceless names on the internet how to keep hold of your "mint" is the modern way.
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that upon finding out your tax bill, you should go out and spend that same amount (or near enough) on something for business use, so that its deducted from next years tax bill, and so on, and so on? So that your not just in effect throwing the tax man money?!
I really should know all this by now... ::)
What you going to live off then?
Wild stab in the dark, but id say my wages?!! :o
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that upon finding out your tax bill, you should go out and spend that same amount (or near enough) on something for business use, so that its deducted from next years tax bill, and so on, and so on? So that your not just in effect throwing the tax man money?!
I really should know all this by now... ::)
What you going to live off then?
Wild stab in the dark, but id say my wages?!! :o
Won't you have spent your profit on your tax evasion? There won't be any wages.
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Unless you need a new van this question makes no sense
If you are self employed , you will save 2.5-3 k in tax by blowing all your money on a van "in theory" , in reality you wont pay tax because you spent it (probably less though as the cost of vehicles is spread over a few years)
If you had kept it you would be about 30% in tax and keep 7k for yourself
Why would you throw away 7k to stop the tax man getting 3
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tax doesn't have to be taxing. ;D
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that upon finding out your tax bill, you should go out and spend that same amount (or near enough) on something for business use, so that its deducted from next years tax bill, and so on, and so on? So that your not just in effect throwing the tax man money?!
I really should know all this by now... ::)
What you going to live off then?
Wild stab in the dark, but id say my wages?!! :o
Your wages is taxed as well, so if you take wage you pay taxes.
You have non taxable income of up to (i think it's now 8500 per year)
anything above that you pay taxes.
So better to see an accountant and speak to them
This forum may help you with these questions in more details:
http://www.ukbusinessforums.co.uk/
and this link may help as well:
http://www.hmrc.gov.uk/incometax/relief-self-emp.htm