Clean It Up

UK Window Cleaning Forum => Window Cleaning Forum => Topic started by: Ryan @ Transparent, Carlisle on January 02, 2010, 04:45:33 pm

Title: tax return
Post by: Ryan @ Transparent, Carlisle on January 02, 2010, 04:45:33 pm
Okay. Dont shoot me down in flames for asking this, but ;-

Will the Inland Revenue notify me when i need to file a tax return? I first registered on august 6th/8th????? i have paid one lot of national insurance. and im guessing the next lot will be about due?

I thought i could do my own book,s but looks like i might need a bit of help & guidance so i will probably go to see an accountant this week.

Title: Re: tax return
Post by: RO-Sheen on January 02, 2010, 04:54:54 pm
I just got my letter from the IR this week reminding me that I have to pay my tax bill by the end of January.
Best you see your accountant asap and give him all of your receipts. He will calculate how much you owe and you MUST get your tax bill paid by the end of january or you will be fined.
TBH I think you are cutting it a bit fine as most accountants will be very busy now with all of their existing clients. Dont leave it so late next year!
I always try and get my receipts to my accountant by end of April so you will know as early as possible how much your January bill will be. This will give you plenty of time to save and put money aside.

Some people like to do it themselves as it saves on accountant bills but unless you know what you are doing you will better off hiring an accountant as they know all of the ins and outs and will save you more money.
Title: Re: tax return
Post by: cleewindows on January 02, 2010, 05:27:38 pm
you will not need to do a tax return till next year op!
don't worry they will want your money next year!
Title: Re: tax return
Post by: Ryan @ Transparent, Carlisle on January 02, 2010, 05:29:35 pm
you say you hand them in at april

January 2010 (NOW) you are paying the tax bill from apr 2008 - apr 2009?  is that right?

As i only started in august 2009 ...... am i still expected to pay a tax bill in January 2010. If so, from august 2009 to which month??? am i supposed to pay

Cheers, Ryan

Title: Re: tax return
Post by: Ryan @ Transparent, Carlisle on January 02, 2010, 05:30:32 pm
cheers cleewindows..... i posted my reply as you posted
Title: Re: tax return
Post by: dai on January 02, 2010, 06:18:16 pm
You don't have to file a tax return until October 2010.
If you want to do it yourself, or get an accountant to do it, the deadline for filing online is January 31st 2011
Title: Re: tax return
Post by: RO-Sheen on January 02, 2010, 07:17:22 pm

If you only started in August 09 you might be due a tax rebate, depending n your circumstances before you started. I don't know enough about it but maybe someone else knows? If not, an accountant would know. Still worth making an appointment asap for advise. first consultation should be free so you have nothing to lose
Title: Re: tax return
Post by: daz1977 on January 03, 2010, 01:31:16 am
phone ur local tax office and play dum as poop and ask for an appointment, as u dont understand the form and they will go throught it with you,  keep every receipt in a easy to find form,   i use to keep a spread sheet of what i spent on what, ie fuel,  uniforms, etc  go down with this and they will tell you what u need to put in what box,and as the end of it they will tell you what u owe,  if you can get the local tax office on your side, u can make your life a lot easier,  it is better to do this than have some little hitler turn up to ur house and screw you over


i know this because years agoi got chased by the tax man, never filed returns or anything, got fines etc,  went down one day, cried and give a sob story, the women in there filed in my tax return with the info on her screen and i got 600 quid back,  they 0ahve info on you,  if u r working they just want you to confirm what they got to see if it matches


if you are self employed and dont file a tax return, they will just pick someone else and you pay the same tax as them
Title: Re: tax return
Post by: Niall McAllister on January 03, 2010, 01:53:31 am
Ryan, if you started august 09, you will have to think about filling in your tax return after april 2010 for the 09/10 tax year. if you are a sole trader it is not to difficult to do the self assessment, but contact the tax office and ask about their self assessment work shop, it lasts about 3 hr and covers all the basics.
until then keep every receipt that you get for business purchases, fuel, stationary, cleaning gear, car park receipts if you go to the shop for a stamp for a business letter, and anything else you can think of that you have spent on the business.

hmrc also do a small business start up workshop that you may still be able to attend.

Both workshops are free, and you can claim the travel expenses as it is for the business ;)
Title: Re: tax return
Post by: Ryan @ Transparent, Carlisle on January 03, 2010, 11:56:28 am
Thanks for the advice

I have an "0800" number, which costs me £15 a month. I know i can claim for this, but i dont get a receipt, although it is on my bank statements.

Should i photocopy my bank statements and use them as a receipt?

Thanks
Title: Re: tax return
Post by: Sir Squeaky on January 03, 2010, 01:30:38 pm
Some people like to do it themselves as it saves on accountant bills but unless you know what you are doing you will better off hiring an accountant as they know all of the ins and outs and will save you more money.
I don't agree.

I used an accountant for years and it cost me £200-odd each time.
Since I've done it myself it certainly hasn't cost me an extra £200!

To have £200 less to pay he'd have to find roughly an extra £1000 expenses! Yeah right! ;D
Title: Re: tax return
Post by: williamx on January 03, 2010, 02:04:34 pm
Ryan

Legally you need to let the taxman know when you first start up in business, I think this is within 6 weeks.

You then need to file a tax return every april.

You then have until the end of January to pay any taxes due.

The following July you will need to pay 50% of your last tax bill, as an advance payment for the following tax years liability.

I would advise that you first use the "George window cleaning programme" that way you can kept a very good record of you income and expenses.

Secondly I would invest in a very good accountant, they will save you many ££££ if they are good at their job.

Thirdly, I would join the Federation of Small Businesses, they will protect and advise you in many tax and other legal matters that could cost you thousands in the future.
Title: Re: tax return
Post by: daz1977 on January 03, 2010, 02:07:29 pm
Thanks for the advice

I have an "0800" number, which costs me £15 a month. I know i can claim for this, but i dont get a receipt, although it is on my bank statements.

Should i photocopy my bank statements and use them as a receipt?

Thanks

that should be fine,  the chances of them asking to see them are slim,  u just ahve to keep receipts just in case,  i have a seperate bank account for my business and i pay everything out of this,  i even keep a record of how many litres of water i use a day and charge my self for it when the bill arives,  so the company is paying for the water it uses
Title: Re: tax return
Post by: ccmids on January 03, 2010, 02:41:46 pm
my accountant charges me £800 + a year , is that good
Title: Re: tax return
Post by: Rcs on January 03, 2010, 02:54:36 pm
£250 -- to £300 i pay a year for a limited company
he does the return
deals with companies house
does my tax credits
does  all my expenses
and sorts out all the inland revenues attemps to rip me off

anyone want his number let us know

dont have to be local all i do is post everything and he sorts it out

remember you need someone on your side the government are out to get you
Title: Re: tax return
Post by: Niall McAllister on January 03, 2010, 03:02:01 pm
my accountant charges me £800 + a year , is that good
that's good.



















for his cottage in the south of france :D
Title: Re: tax return
Post by: ccmids on January 03, 2010, 03:05:26 pm
£250 -- to £300 i pay a year for a limited company
he does the return
deals with companies house
does my tax credits
does  all my expenses
and sorts out all the inland revenues attemps to rip me off

anyone want his number let us know

dont have to be local all i do is post everything and he sorts it out

remember you need someone on your side the government are out to get you


sure he's not just a book keeper £300 is cheap
Title: Re: tax return
Post by: williamx on January 03, 2010, 03:09:27 pm
Mine only charges £120
Title: Re: tax return
Post by: Sir Squeaky on January 03, 2010, 05:53:41 pm
my accountant charges me £800 + a year , is that good
that's good.



















for his cottage in the south of france :D
;D
£800! So he'd have to find you £3200 extra expenses to knock £800 off your tax bill!  :o
Title: Re: tax return
Post by: martinsadie on January 03, 2010, 06:16:24 pm
just paid my tax online and wrote out check for the accountant £175  ;D
Title: Re: tax return
Post by: ccmids on January 03, 2010, 06:42:27 pm
my accountant charges me £800 + a year , is that good
that's good.



















for his cottage in the south of france :D
;D
£800! So he'd have to find you £3200 extra expenses to knock £800 off your tax bill!  :o
dont understand ,that is what i am being charged.
Title: Re: tax return
Post by: ccmids on January 03, 2010, 06:45:07 pm
its £874 thats exact amount i pay , that is for a chartered accountant.
Title: Re: tax return
Post by: Frankybadboy on January 03, 2010, 06:46:29 pm
i paid  £100 last year. :P :P :P :P

and he more than than saved me that x3,also he got me a small rebate of £300.so i was happy. :D :D
Title: Re: tax return
Post by: ccmids on January 03, 2010, 06:51:17 pm
they say there is a difrance between a chartered accountant/ accountant, do not know what it is though  ???
Title: Re: tax return
Post by: Niall McAllister on January 03, 2010, 06:55:20 pm
ask him what you are paying for, just remember he'll charge you for the answer
Title: Re: tax return
Post by: ccmids on January 03, 2010, 07:00:50 pm
just got this of a accountants forum..


I am also an accountant but not chartered yet.I am longing to be one.Accountants are believed to a have theorical knowledge about accounting and not professional but chartered accountants are professionals.

i just googled  difference between Chartered accountant
Title: Re: tax return
Post by: david watts on January 03, 2010, 07:06:07 pm
if you get an accountant keep all paper work; one i had tried to didle me out of
 2/half grand a big firm ass well
Title: Re: tax return
Post by: Rcs on January 03, 2010, 07:12:08 pm
no he is spot on
got a rebate of 1300 quid and 900 back on corporation tax
Title: Re: tax return
Post by: daz1977 on January 03, 2010, 09:32:25 pm
remember even if you have an accountant and he balls up/ fiddles your tax return  you are still liabily for it
Title: Re: tax return
Post by: chopsie on January 03, 2010, 09:49:59 pm
I went to see a business start up bloke at notts and derbyshire chamber of commerce,A free advisor,He told me not to waste my money on an accountant,he says I should easily be able to fill in a tax return Just keep all records to make it easy(which i am doing and probably anyone starting in business would know any way!).He told me to just charge my van to my business at 40p per mile and that would cover everything,diesel,servicing,wear and tear etc,and should be more than I spend,Sounds good to me,saves keeping all reciepts,Just charge 40p per mile,Do you think this is right?
Title: Re: tax return
Post by: cleewindows on January 03, 2010, 09:53:28 pm
I went to see a business start up bloke at notts and derbyshire chamber of commerce,A free advisor,He told me not to waste my money on an accountant,he says I should easily be able to fill in a tax return Just keep all records to make it easy(which i am doing and probably anyone starting in business would know any way!).He told me to just charge my van to my business at 40p per mile and that would cover everything,diesel,servicing,wear and tear etc,and should be more than I spend,Sounds good to me,saves keeping all reciepts,Just charge 40p per mile,Do you think this is right?
yes 40p but still deduct insurance servicing etc!
Title: Re: tax return
Post by: chopsie on January 03, 2010, 09:55:47 pm
I went to see a business start up bloke at notts and derbyshire chamber of commerce,A free advisor,He told me not to waste my money on an accountant,he says I should easily be able to fill in a tax return Just keep all records to make it easy(which i am doing and probably anyone starting in business would know any way!).He told me to just charge my van to my business at 40p per mile and that would cover everything,diesel,servicing,wear and tear etc,and should be more than I spend,Sounds good to me,saves keeping all reciepts,Just charge 40p per mile,Do you think this is right?
yes 40p but still deduct insurance servicing everything


what even diesel? What is the 40p per mile for if I still claim for everything else?
Title: Re: tax return
Post by: cleewindows on January 03, 2010, 09:58:21 pm
business milleage!
Title: Re: tax return
Post by: Niall McAllister on January 03, 2010, 10:03:04 pm
the 40p is to cover ALL van expenses.
it's milage or expenses
Title: Re: tax return
Post by: chopsie on January 03, 2010, 10:04:16 pm
business milleage!






I don't get it,they won't pay for just using a vehicle,they pay for the costs of it i.e diesel,tax,insurance etc,OR 40p per mile to cover everything,surley they won't pay for tax,diesel,servicing etc and then give you 40p per mile on top for nothing  ??? It does'nt make sense.(When I say pay,I mean tax deductable)
Title: Re: tax return
Post by: Steve_Richardson on January 03, 2010, 10:10:35 pm
It's one or the other - 40p per mile OR work out all your bills, petrol/insurance etc etc.

For me the 40p per mile is easier as I use my car for work and personal. For those with work vans I guess keeping all receipts for petrol.servicing etc would be wiser.
Title: Re: tax return
Post by: chopsie on January 03, 2010, 10:21:07 pm
well I will keep reciepts and then do the sums when the time comes to see which route I go down.But i think it will be the 40p per mile one.Only started in November,so don't need to worry too much until end of year.
Title: Re: tax return
Post by: williamx on January 03, 2010, 10:48:48 pm
well I will keep reciepts and then do the sums when the time comes to see which route I go down.But i think it will be the 40p per mile one.Only started in November,so don't need to worry too much until end of year.

You only have untill the end of the tax year (April) to decide weather you are going down the mileage or expenses route.  Once you make your mind up you cannot change your mind for as long as you are using that vechicle.

I cannot believe that you were told not to use professional advise
Title: Re: tax return
Post by: chopsie on January 03, 2010, 11:08:37 pm
He said it was a waste of money.He said I could get help off them for free and I  should easily be able to do it myself.Why do i need to decide before the end of April.I thought the this years tax returns(2009-2010) were not due until at least October  ???
Title: Re: tax return
Post by: daz1977 on January 03, 2010, 11:28:39 pm
http://www.hmrc.gov.uk/incometax/relief-self-emp.htm

this is the gov web site for self employed people 
Title: Re: tax return
Post by: daz1977 on January 03, 2010, 11:31:04 pm
for the mileage claim

Motoring expenses
You can deduct the cost of using your car for business purposes. There are two ways of working out how much you can deduct:

a fixed rate for each mile travelled on business, using our fixed mileage rates
the actual expenses, worked out using detailed records of business and private mileage to apportion your recorded expenditure


The amounts to use are:
• car or van 40 pence a mile for the first 10,000 miles
25 pence a mile thereafter
• motorcycle 24 pence a mile
• cycle 20 pence a mile.

this is off the gov web site
Title: Re: tax return
Post by: Helen on January 04, 2010, 09:26:08 am
Okay. Dont shoot me down in flames for asking this, but ;-

Will the Inland Revenue notify me when i need to file a tax return? I first registered on august 6th/8th????? i have paid one lot of national insurance. and im guessing the next lot will be about due?

I thought i could do my own book,s but looks like i might need a bit of help & guidance so i will probably go to see an accountant this week.

Ryan have only skimmed through the replies so this might have already been said :)
If you need clarification about Inland Revenue issues then phone them and ask. They don't bite and they are humans not aliens ;D
When you first registered S/E with them you should have got a S/E pack from them and most of your questions will be answered in that.
Paying your tax bill.... put away money towards tax from day one!On your first tax return you will be liable to pay tax from that tax year plus half up front of the next tax year. So many get caught out by the statement"pay no tax in the first year".....you do , but one lump at the end of that tax year. The half up front will be based on what the previous years figure was.
Good luck