He liiiieeeeed!!!!

[Seahorse]

That man that says 'Tax doesnt have to be taxing'...he is a big fat liar!!!!!

I got the form today and I have no idea what any of the words mean(except filling in my name and date of birth etc)

Oh my goodness, Im on complete brain meltdown!!!!!!!

[indri]

You're not telling me you believed him? :mf:

[colourart]

I know what you mean....tax is taxing. However if you do it online it is so much easier. Even I managed it.

[Seahorse]

You're not telling me you believed him? :mf:

But he seemed so genuine!!Nice old man, telling me everythings going to be ok....what a fibber!!

[goldy1]

It is easy if you know what your doing ;) Find the section for the self employed. You only have to fill out a few pages. If your realy stuck find a locl one day course there free. Or use the help line.

[Pauline@weddingtreasures]

oh noooooooooo. I have to go through all this and no matter how times I've read about it, its still mind boggling!

I'm okay on the national insurance stamp, that bit is easy and I am keeping my records up to date but where do I go from here? Do I really have to wait a whole year before I can pay any tax or is there a way I can pay it bit by bit????

Pauline :mf:

[Sparklez]

My first thought last year when I got mine was "holy S***!!! I'm never going to manage this!" but guess what? I did manage and it only took a few hours, and I suck at maths!

I've said this before and I'll say it again. The form isn't as bad as you think it is. I know a lot of you will be feeling a bit stressed over it as it's your first time and it does seem really scary, but once you sit down and go over it slowly it's not that bad. The guide is actually quite helpful and the tax people that you can phone when you are stuck are really good too.

Remember that if you've made less that £15,000 self employed, you can do the shortened version of the self emplyed form, which will make it even easier. Also, there's plenty of people on here who are happy to help if they can.

Carol

[Seahorse]

I had another look at it last night and saw there was an actual section for self employed, so I take it thats the only bit I need to fill in?!!?

If theres a shorter version that would be fab!!I definately havnt made anything like £15,000.

Thanks guys, I reckon each time i look at it itl get less and less scary, well in theory anyway.

[incywincy]

I've not received mine yet - But I will be the same! I'm going to have to get my SIL to explain it all to me.

I will also have a look at the online one, but knowing my luck I would go to press enter details and my laptop will crash! :pc:

[Pauline@weddingtreasures]

So there is no way I can pay my taxes in lumps here and there? If so, do they send me a form when the time is right or is that up to me?

Also, if I do it myself online, when does this need to be done?

Sorry for asking so many questions but I dont want to end up totally :o. I am trying to find somewhere local to go and talk to somebody in business link but the nearest one to me is in Birmingham.

Pauline :o

[Seahorse]

I believe on paper its due the end of October and online is the end of January.All that kind of info is written on the package the form comes in.

[Pauline@weddingtreasures]

Hmmm. I wonder why I've not been sent a form for tax, yet I have for national insurance stamp.

Will have to investigate that.

thanks.

Pauline :D

[Poppy4lee]

When I filled mine out, I'd lost my figures (they're stuck on my old computer) & I couldn't find the printout that I'd done.
It must have taken me all of 20mins to fill it out (I was rushing coz I wanted to get it in the post) it was a real slap-dash affair. I put a note of apology, saying I hadn't got a clue how to fill it out plus I'd couldn't access my figures & said basically I think income was roughly X & my outgoings were approx Y & that I knew I'd definitely made a loss ~ I couldn't believe it when they accepted it!!!!!!:mf::mf::mf:

[Focus on Life]

I put a note of apology, saying I hadn't got a clue how to fill it out plus I'd couldn't access my figures & said basically I think income was roughly X & my outgoings were approx Y & that I knew I'd definitely made a loss ~ I couldn't believe it when they accepted it!!!!!!:mf::mf::mf:

Wow I bet that really shocked you!

Dont the tax dudes hold workshoppy type things you can attend? I've never been to one but I did see a taxman presentation a few weeks ago and I'm sure he mentioned workshops that might be helpful when you're completing things for the first time

Shaz x

[woodtattoos]

I received my pack and forms yesterday and was looking at the Self-Employment (Full) forms. I was wondering... how much simpler are the Short ones for small 'simple' businesses? I earn nowhere near the amount to justify doing the full form. I'll definitely do the form online as I'm sure I'll find that easier.

Si.

[Seahorse]

I received my pack and forms yesterday and was looking at the Self-Employment (Full) forms. I was wondering... how much simpler are the Short ones for small 'simple' businesses? I earn nowhere near the amount to justify doing the full form. I'll definitely do the form online as I'm sure I'll find that easier.

Si.

I was chatting to my dad about the full form saying 'Ive read theres a short form for low incomes' and he said i may as well get used to filling out the full form(I think he is more optomistic about my hobby taking off than I am).
Luckily he looked at the form yesterday and said he knows how to fill it in and its nothing to worry about!!Hallalujah for knowledable parents.

I think the short form is worth asking for just so you can compare the two.

[woodtattoos]

I was chatting to my dad about the full form saying 'Ive read theres a short form for low incomes' and he said i may as well get used to filling out the full form(I think he is more optomistic about my hobby taking off than I am).
Luckily he looked at the form yesterday and said he knows how to fill it in and its nothing to worry about!!Hallalujah for knowledable parents.

I think the short form is worth asking for just so you can compare the two.

I'll probably never move past the low income requirements level as what I do is basically a hobby to relax from the stresses of the day job. As long as I can do the short version online, I think I'll struggle along!

Si.

[Shipbuilder]

I think that when you start up, they send you the long form for the first year because you are still an "unknown quantity." After that, you should get the short form if you qualify for it.
Bob

[woodtattoos]

I think that when you start up, they send you the long form for the first year because you are still an "unknown quantity." After that, you should get the short form if you qualify for it.
Bob

Thanks for that. I really hope I can do the short version as I'm talking seriously small amounts of £££ here! ;)

Si.

[beadsbydesign]

My short version arrived this morning! Plowed through the long form the first year, but after that it was just the short form. It may of course be different if you are employed and self employed.

Pauline, as far as I'm aware you can pay in two installments.
You can pay the first i June and the secod instalment in january.

Seahorse. If you want them to calculate the tax for you you must submit your form before 30th Sept.

Your tax form that you are reciveing must be completed with all tax owed on it must be submitted by 31st January 2009.

[Bea]

Indeed, the dreaded form has arrived, but lucky me I just hand it over to my accountant:D. I never wait until January to do it, too much stress! And I'd rather know in advance how much I owe!

[Shipbuilder]

One thing to remember when having an accountant fill in your tax form is the fact that if they get it wrong, it is YOU, not THEM, that is held responsible! When I realised this, I got rid of my accountant (after he made a mistake in my tax form that I fortunately spotted) & saved myself the money.

[Bren]

I've not received mine yet - shame, it sounds like a lot of fun! :D

Actually, I'm a terrible worrier and keep wondering what is in store but a friend (who is an accountant) said she will go through it with me and keeps telling me not to worry. I think the short form sounds more applicable to me but if I have to fill in the long version for the first year, so be it.

[Ifor-Jones]

Really so much easier to do it on line and all the figures are worked out for you. It takes you to the next section and there is lots of help there. You can start to do it and save it and go back later, so it doesn't have to be daunting.

[plainjanetextiles]

The form absolutely baffled me so I've decided to do it online. I'm not very good with figures but thankfully my husband has been self employed for 4 years so he helps me out tonnes!
xx

[AnnieAnna]

I'm hooked on doing it on line as it adds everything up for you......and tells you if you've made a mistake. Mind you I then spend 5 minutes moaning exasperatedly at the computer whinging "No I haven't. What are you on about?" etc until it dawns on me that I was a flopsie wopsie bunny and put the 2p in the wrong box.....

I do recommend going to your local free 'we'll help you' day. They are really nice to you. I got cakes with several cups of tea. I filed in my first/a dummy form and have used that as guide ever since. You won't be filling in all the boxes so it's reassuring to check back visually instead of working it out everytime. I did come a cropper last year as they altered some of the categories to be more helpful. I might have said a naughty word or two but it came up with the same number as my account package, so that was OK in the end.

With paying the taxes, if you do it on line it tells you how much you owe (or don't) and you can pay by credit card.
What you can/ought to do is guesstimate how much you might be asked to pay - pick a number, any number, like 20 to 25% of your profit every week or month and squirrel it away in a savings account. Your end of year tax bill will probably be way below your guesstimate so you should end up with a nice little pot of money after paying tax. That should cheer you up and dull the pain :)

AnnieAnna

[sunrise]

each time I sell something I put 25% of it away in a pot marked tax then as you say when the time comes and I've claimed expenses etc then I have some left which is always nice lol

[Seahorse]

So could I put my profits in a savings account until I had to pay out(if I need to)?

[AnnieAnna]

It's a sensible idea..........
I've always had 2 accounts. A main one for everday living and a little one my husband forgets to look at where I squirrelled away the small amounts of money I was given - eg child benefit, or made - doing a bit of graphics, making kids clothes, making jewellery while I was being a mother, a childminder or a teacher (the proper job). In the past it has been our safety blanket during our several midlife crises. Since I chanced my arm and hired a chip and pin terminal I was forced to convert it into a business account. Funnily enough, because it's a real palaver to see statements on line, my husband still doesn't check it out and I'm still squirrelling away money in it and it's earning interest. And it's there if the tax bill turns out to be a shock.
If you keep your books using a computer package it keeps a running total of your profit (or loss) so you don't get any nasty surprises. You should have a good idea of what your tax bill will be. Every year I'm pleasantly surprised that it's less than I anticipated. (The chancellor has put up the personal tax allowance, or as I read on a post here, the tax men have become more laid back about you claiming a proportion of the intrest payments of your mortgage as an expense if you use a room in your house to work from.)
Annie Anna

[MrSwirl]

So could I put my profits in a savings account until I had to pay out(if I need to)?

Yes - although the interest on company money then becomes income that you should declare as well (or it does for my Ltd).

But it makes sense to keep it all separate anyway if you can - then you know exactly where you are with it all.

[AnnieAnna]

Is the tax bit of your interest not taken off by the bank before they let you have it?
AnnieAnna

[MrSwirl]

Is the tax bit of your interest not taken off by the bank before they let you have it?
AnnieAnna

It depends.

A business account will not have tax deducted from the interest.

A personal account may or may not have tax deducted from the interest, depending on whether you are registered as exempt or not.

[AnnieAnna]

Ah, I didn't know that. I've only had my business account for a month and the interest has been gobbled up by the bank charges. On my private accounts the tax was always taken off which was very annoying when we were down on our uppers and had to chase around trying to get it bad.
Thank you
AnnieAnna