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candles by lisa
11-04-2007, 07:34 PM
.... hands up all who got their tax returns today. Do the buggers at the Inland Revenue not take Easter holidays then.

I can't make head nor tail of it, I will need to get a harvard lawyer to take a look at it.

:confused:

EMEvans
11-04-2007, 07:44 PM
They do look a bit scarey but if your just a small business there should only be a bit to fill in. If you get an accountant to do it for you it doesn't have to be submitted untill 31 January 2007, otherwise if you do it yourself it's the end of september. Luckly i work for a firm of accountants so i'm going to get my boss to sign off my accounts and to check over my tax return. He's really good as he'll make sure i pay minimum tax possible.

Sparklez
11-04-2007, 10:14 PM
I got mine today too. As I'm stuffed full of the cold, I decided not to look at it too closely. Hopefully, once I sit down and read it properly, it wont be bad.

Never mind, I'm sure we'll all help each other out on here. :)

Carol

candles by lisa
12-04-2007, 08:24 AM
I had a read through last night and think I have the rough idea of what needs to get done but I will give the Inland Revenue a call today to go through it.

My husband is self employed and he gets his account to do this but I can't afford to pay for an accountant (particularly with the crap craft fairs I have been at the past few weeks) think the IRH will owe me!! He is the teller of doom though - learing over me going if you get this wrong you will get penalised!!!! He is driving me nuts!!!!


Lisa

:mad:

Seahorse
12-04-2007, 08:57 AM
Eek!!Good luck, those forms are something Im not looking forward to but I cant allow these things to put me off.

heavenlygirl
13-04-2007, 07:46 AM
just got myfirst tax return too, CONFUSING!!! Trying to get my books in order too which is a nightmare, hope accountant can figure it all out, but i suppose that is what i'm paying him for, and don't they cost a fortune, but hopefully it will be worth it.:mf: :mf: :mf:

Soapwitch
14-04-2007, 12:00 PM
I hate tax returns. I find myself checking the figures over and over again, terrified that I might do something wrong! I do ours online so i don't have to look at that big booklet they send out! I have promised myself that i'll get an accountant to do it next year!

willowc
16-04-2007, 03:12 PM
Got mine too and its my first, it looks a little daunting but I am going to have a read and try and do it myself, fingers crossed!!!

alicub
10-06-2007, 05:45 PM
I am still puzzling over my tax return! Ignored it for a good few weeks then decided I should have a nose.....

I am sooooo confused! Thought it would be dead easy but, alas I am not as bright as I thought. Just registered to complete it on-line as I was told it was much easier this way. I can't be bothered trying to calculate things like use of a room, broadband charges, etc, I just wanna list what I've spent and what I've made!

Sad thing is I work for the Inland Revenue so I thought I'd understand it at least! More fool me :(

Ali

EMEvans
10-06-2007, 06:17 PM
What we do in the accountants is put 10 per week for use of room which works out as 520 per year. It's worth adding on.

mjbelkin
10-06-2007, 06:33 PM
I wouldn't advise claiming for broadband - it's charged at a flat rate, so doesn't cost you any more because you are in business, therefore no extra cost.

They are fairly simple to complete, but then I would say that as I complete about 100 every year at the day job ;)

If you want any help, just email me, and I'll try to simplify the job for you.

JBJB
10-06-2007, 06:44 PM
I've done two so far, and I did them both online - it was so much simpler than the scary looking paperwork. If you fill out one answer, it automatically re-directs you to the next relevant bit, instead of having to work out "go to section 3a on page 59" in the booklet !

I keep electronic records to prove my figures in case they ever ask to see the accounts.

0103media
11-06-2007, 08:27 AM
I wouldn't advise claiming for broadband - it's charged at a flat rate, so doesn't cost you any more because you are in business, therefore no extra cost.

There is a big difference between being a part time self employed (working full time and being employed) vs full time self employed..

I claim my broadband or a % of it as its main role is for the business and not for personal stuff..

Same with mobiles, landlines etc... u need to respect how much you use something for your business... Assets like stock and cars are a good thing to look at offsetting.. Depreciation of cars is one area I learnt about from my accountant..

mjbelkin
11-06-2007, 09:43 AM
There is a big difference between being a part time self employed (working full time and being employed) vs full time self employed..

Yes I know, we have all sorts of clients - Limited companies, plcs, self-employed, partnerships.

And we also discuss a lot of things with the Revenue, and broadband is one of them. But you can claim a percentage of all motor costs, telephone bills, utilities, etc. What you are claiming is the extra it costs you because you are operating a business from home. There is no extra with broadband.

Trust me, accountancy is my day job, so I really do know what I'm talking about, and I work for a small firm, so I get to do quite a variety of different jobs.

0103media
11-06-2007, 10:48 AM
There is no extra with broadband.


I don't understand ?
No extra ?

Bussiness broadband can not go against tax ? Its that what your saying ?

mjbelkin
11-06-2007, 11:23 AM
Can you get the broadband billed in the business name? If so then all of it can be claimed.

Or, if the business uses a different address.

But if its residential broadband at your home, you'll have a challenge convincing the Revenue that its a business expense.

Unfortunately, its one of those 'all or nothing' items.

alicub
14-06-2007, 11:36 AM
My parents also run a business from home and need the use of computer and internet so they do claim a % of their broadband costs.....never encountered a problem with HMRC because of this.

I am worried about about adding on room costs as I heard a rumour when you come to sell your property you will be charged a % in tax for the interest made on the room you claim is for 'business use'......Hope that makes sense :P

Ali

swirlyarts
14-06-2007, 11:53 AM
I am worried about about adding on room costs as I heard a rumour when you come to sell your property you will be charged a % in tax for the interest made on the room you claim is for 'business use'......Hope that makes sense :P

Ali

Thats true. Someone a friend of hubby knows claimed for everything in his house except his bedroom - about 80% of his house. When he came to sell the house he had to pay the revenue 80% of his profits! I think thats right anyway - he had to pay a lot of money to them anyway - not what you want to be doing. He did claim for his kitchen though a sit was to make cups of tea and snacks for entertaining clients etc etc - he was being a bit daft about it!

0103media
14-06-2007, 12:06 PM
If you pay bus rates then its ok.. I think... My a/c normally does 1 room but I rent.. If I owned a house I'd be off to discuss with my a/c...

If you have a small turnover I'd not bother imho

nattynetty
14-06-2007, 02:11 PM
My parents also run a business from home and need the use of computer and internet so they do claim a % of their broadband costs.....never encountered a problem with HMRC because of this.


Yep my accountant advised me to claim a % of my broadband costs as it's kind of obvious that it's vital for running an online business. Can't remember the exact amount but I think I claimed about 80% of the cost.

Also I don't claim for use of any rooms in the house (for the reason Swirly mentioned) but I do claim a certain amount for electric and gas.

Katianne
14-06-2007, 09:51 PM
Got mine through today and it's such a huge form - read the first age and was totally confused.

Can I just check - I have applied for small earnings exemption. Do I now to to comlete the tax return? I m really worried about doing it - it looks very daunting!!

goldy1
14-06-2007, 10:03 PM
just read the first page and see which bit relavent to you. it should only be a few pages.

you still need to fill it in .

candles by lisa
15-06-2007, 07:35 AM
Got mine through today and it's such a huge form - read the first age and was totally confused.

Can I just check - I have applied for small earnings exemption. Do I now to to comlete the tax return? I m really worried about doing it - it looks very daunting!!


Phone the IR. I did and they told me what pages to fill in. Even after that if I got stuck on a page phoned them. They are quite helpful (after all they want our money don't they so they would be helpful!!)>

Cheers.

Lisa

:o

mjbelkin
15-06-2007, 09:13 AM
Can I just check - I have applied for small earnings exemption. Do I now to to comlete the tax return?

The small earnings exemption is so you don't have to pay any class 2 or class 4 National Insurance. The form itself looks long and complicated, but is actually really easy to complete.

Xanadu86
20-06-2007, 04:24 PM
Me and my partner have 5 tax returns to fill out between us, due to this business and having a previous business selling baby clothes.

Im dreading doing them, but luckily the inland revenue are being very helpful with it all.

If anyone is having any probs, you can arrange a meeting with them where they will go through each question with you and give you help wherever you need it.

xx

colourart
20-06-2007, 05:30 PM
I got one through the other day, and it looks huge. All I want to do is sell a few paintings, I'm not going to earn enough to pay tax, but still have loads of forms to fill out. Sometimes I think things are more complicated than they need to be.
:sm:

Xanadu86
20-06-2007, 05:33 PM
I agree,
My old business had no transactions and i let the inland revenue know this and that the business was closed. But when it came to tax return time they claimed they never knew this.

They also made several spelling errors on the tax returns (with our business name). Its called bliss in a tub.. and the other names they had were: bliss in a tube, and buss in a tub. Sound like appealing businesses? lol

handmadeheaven.biz
20-06-2007, 07:51 PM
"bliss in a tube" sounds like it'd be a good seller!

MrSwirl
05-07-2007, 10:18 AM
There is a big difference between being a part time self employed (working full time and being employed) vs full time self employed..

I claim my broadband or a % of it as its main role is for the business and not for personal stuff..

Same with mobiles, landlines etc... u need to respect how much you use something for your business... Assets like stock and cars are a good thing to look at offsetting.. Depreciation of cars is one area I learnt about from my accountant..

If you are a limited company, you should get a mobile in your company name. Each employees of a limited company can have one phone in the company name without it classing as a benefit. You can then put through all calls and line rental for the phone as an expense. If you have a personal phone that you use for business, you can claim the call costs but no rental.

Business mobile tariffs aren't quite as good as personal ones, but since they are tax free, it's worthwhile doing.

Seahorse
05-07-2007, 10:50 AM
I believe I have a small earning exemption form at home waiting to be filled in.

Is there a specific phone number to call the IR on?Ive seen there are loads of departments, always think il phone the wrong people and get earache.

MrSwirl
05-07-2007, 11:02 AM
You can find the number of your local tax office here. (or rather you would have a link there, but I can't put one in. So I won't tell you how to find out, until I've written more drivel elsewhere.)

The Self Employed contact centre is on 0845 915 4655.

I've spoken to my local tax office about business things before (and to the VAT office) and always found them very helpful.

Seahorse
05-07-2007, 11:07 AM
Thanks, taken note of the number.

0103media
05-07-2007, 11:59 AM
always found them very helpful.

Yep..
Only once I have spoken to someone who wasn't nice.. So helpful...

Its just said such nice people take your money..

3yrs ago I even got a call from them asking if everything was ok, have I got any questions and of course can I afford to pay my tax..

I got my mid term tax bill on monday... Thank god I have a massive overdraft!!!!!

Katianne
31-08-2007, 06:41 AM
Sorry if anyone's already answered this...I am filling in mine at the moment and am a bit confused. I have ticked the section saying 'Self Employed' but can't work out what part I fill in to state what I have paid out and earnt for the 06/07 tax year? HELP!!!

candles by lisa
31-08-2007, 07:56 AM
Sorry if anyone's already answered this...I am filling in mine at the moment and am a bit confused. I have ticked the section saying 'Self Employed' but can't work out what part I fill in to state what I have paid out and earnt for the 06/07 tax year? HELP!!!


Give the IR a phone they will go through the form with you. They are so helpful but again cause they want your cash - I was constantly on the phone then I just decided to stay on the phone and go through it with them, they answered all the questions - you will probably find you don't need to fill in as much as you think you need.

Cheers.

Lisa

:D

littlesnuggler
14-09-2007, 06:01 PM
Just done mine online - what a relief. Actually it was very easy and better still - I don't owe any tax :mf: :mf: :mf:

Wicky
15-09-2007, 10:09 PM
Sent mine back last month, I hate filling them in

Sparklez
16-09-2007, 12:33 AM
Finished mine on line on Friday night. I think the key is to have all your figures in front of you, take time out with no distractions and go through the form slowly. I had to phone IR twice with questions and found them to be very helpful.

One thing that did confuse me is that I work full time, am self employed part time, and was able to offset the loss I made on my self employment side against my full time wages, but still ended up owing the tax man a grand total of 6.66.?!? I can only assume that I somehow fell short in the tax I paid through work.

Oh well, at least it's over for this year.

paulinespassions
16-09-2007, 11:33 AM
Hi can anyone help me I work as self employed but technically i do a thing called permitted work through my jobcentre where I am allowed to earn 20 per week I dont make any thing like that most of the time .I registered as self employed as advised by business gateway last year but I dont know anything about tax returns How much do you need to earn first ,what to do next I have a list of completed orders but no accounts as such I spend more than I make.
Help please
pauline:confused:

Sparklez
16-09-2007, 12:10 PM
Hi Pauline,

You have to do a tax return if self employed regardless of how much you make or don't make as the case may be.

If you've registered as self employed, you should have been sent a tax return form already. Unless you're having an accountant fill in the form for you, you need to have this submitted by the end of September. If you haven't received your form, you can download a copy from the HMRC website. If you don't submit your form in time, you can face a fine.

The form isn't as scary as it sounds, you'll be able to fill in the shortened version of the form as from what you've said you'll be under the 15,000 threshold.

Do you have a list of what you've spent? You'll need this to work out your loss/profit. All your accounts really need to be is a list of what you've spent and a list of what you've taken in, but it is a good idea to keep reciepts for everything you've spent. The tax man can ask to see you're records, I think up to 5 years after the end of the tax year.

Don't be afraid to phone the tax office to ask for help, thats what they are there for, and I'm sure everyone here will be happy to help if you need to ask questions. I'm no expert, but feel free to PM me if you want.

Hope this helps.
Carol