tax return, self employed

[desrob]

just wondering when and how you send your incoming and out going (tax return), paperwork in, i have just recently went self employed, do i need to do it at all ?, those of you that have been there done that, your input would be appreciated.i don't have a accountant

 

[markfxy]

get an accountant

 

[desrob]

get an accountant

even at this early stage

 

[dontknowitall]

Yup!!!

 

[quality]

plumbers accountance fee`s on offer at reasonable rates call 0898 gdf45343

 

[Mrs Tara Plumbi]

Every official return I ever send in goes in on the very last day of the deadline!
Yes get an accountant early on. Accountants' expert advice may help save you enough money from the tax bill to cover their fees.

 

[royston]

Account is required.

 

[dontknowitall]

I feel my short answer should have a little nutrition:

If you find an accountant early on you can establish what he/she wants from you and the system you'll use. If you leave it to the year end you might end up having to do all your paperwork again. This could take a long time. Alternatively you could throw everything at the accountant and you'll receive a hefty bill for the trouble.

Luckily, on the whole, accountants are not like solicitors. They have good knowledge of what can be a complicated subject and, because there are so many of them, the competition keeps their prices to a more acceptable level.

I'd ask acquaintances for a recommendation and try to interview/chat to at least three before you start a longer term relationship.

 

[baronwills]

You probably dont need an accountant if you are just starting out and you know how to use a spreadsheet. I doubt that your accounts are that complicated by VAT etc. Register with HMRC and do your tax return online. Its fairly straightforward. The tax year runs from April to April and your online tax return has to be in by the end of January, so if you've only just set up on your own, your tax return wont be due until January 2013.

 

[quality]

ok you don`t need an acountant from one corner but as a plumber myself you do need an acountant.
but if you use a spreadsheet then all is ok

 

[baronwills]

ok you don`t need an acountant from one corner but as a plumber myself you do need an acountant.
but if you use a spreadsheet then all is ok

My point is that I know how hard it is financially to start up on your own, so when cash is probably tight, why pay somebody else to do it if you can do it yourself? You dont have to be a genius to add up your incomings and outgoings.

 

[desrob]

My point is that I know how hard it is financially to start up on your own, so when cash is probably tight, why pay somebody else to do it if you can do it yourself? You dont have to be a genius to add up your incomings and outgoings.

what about the initial set up the van getting all my tools together etc, plus i have not got reciepts for everything can i still list them ,i have not even got the van bill, that was quite a big out lay,so can i still use it as out goings.

 

[dontknowitall]

My point is that I know how hard it is financially to start up on your own, so when cash is probably tight, why pay somebody else to do it if you can do it yourself? You dont have to be a genius to add up your incomings and outgoings.

I agree but an accountant will also be able to tell you what you can claim for and what you can't.

For example, did you know you can claim an amount for using your house as an office or that you can claim some of your internet costs. Depreciation on your major tools and van is not easy to calculate either.

Each to their own though!!

 

[SimonG]

I found that the accountant pays for himself. They know all the ins and outs exactly as DKIA has said above.

 

[desrob]

the end of next week is quiet, so if it stays like that i'll look up a accountant,he'll fill me in on all i need to know. thanks anyways

 

[baronwills]

what about the initial set up the van getting all my tools together etc, plus i have not got reciepts for everything can i still list them ,i have not even got the van bill, that was quite a big out lay,so can i still use it as out goings.

I dont think you'll get away with claiming for tools that you haven't got a receipt for. Not sure about the van. It stands to reason that you need a van to operate, you have a van, therefore it must have been paid for somehow. Dont know if an electronic payment record or a cheque stub would suffice. Could you get a duplicate invoice from whoever you bought it from?

 

[baronwills]

dontknowitall and simong - dont get me wrong, im not saying everybody should sack their accountants, just that if you can do them yourself, you can save some money. Most of the information you need about what you can and can't claim for is out there.

 

[dontknowitall]

I've lost one or two receipts in the past (including during my setup costs) and it was never a problem.

 

[dontknowitall]

dontknowitall and simong - dont get me wrong, im not saying everybody should sack their accountants, just that if you can do them yourself, you can save some money. Most of the information you need about what you can and can't claim for is out there.

You're right - just as you don't need a lawyer to represent you in court if ever this happened.

Also, you don't legally need one (unless the taxman tells you otherwise).

The more paperwork you do for yourself the more money you'll save and I do most of my paperwork myself including the Balance Sheet and Profit and Loss Accounts. Also all my receipts match entries on different spreadsheets which makes it easy for them to run an audit, etc.

In my opinion, although another expense, it does pay but I'm not going to force you. We all have different skills and our own ways of doing things, in the end, so I'd do what you're happy with!!

 

[desrob]

I've lost one or two receipts in the past (including during my setup costs) and it was never a problem.

thats good to know,,my understanding of tax return is that it runs from april to april, if this is the case do i need to get my return in from when i started about feb this year to april this year about a months worth of accounts.

 

[dontknowitall]

My year end is end of February. I chose this as I wanted to have my accounts sorted out before my tax return and it gave me the whole of March to finish being paid by creditors and me sorting out other paperwork (e.g. bank statements arriving in March).

Tax year for everyone runs from 6th April to 5th April but for businesses it's whenever (usually, but not always the end of a month.)

 

[ADM360]

I can't Quite remember, but I'm sure that when I started 5 years ago, after having spent many years with firm accruing a nice collection of hand and battery tools, my accountant made an allowence for this, as if I had started without them, I would have had to purchase to carry out my work.

I had an accountant from year 1, although I do most of my own paper work in /outs, monthly and a yearly balance sheet, which I then pass on to him to check over and submit, where he adds in thing like home office etc, I also give him my wifes P60 and he works out how much I have payed her this year, while keeping her under the tax band!! Also included in the fee is an insurance policy in the event of a HMRC inspection, for addiotional accountacy fees etc.