Help! Can I add bits I've missed to next years tax return?

[loukr]

Hi Folks, hope you're all well!!

I'm in the process of sorting my 2010-2011 tax return and have a little question I wondered if you could help me with.

I registered my business on 15th March 2011 so I have 17 days to account for. If I miss out any materials or bits that I bought during the 2010-2011 period, can I add it to my next tax return as stock/materials? Or would I have to write it off as a loss as I missed the boat?
I'm going to try my hardest to get everything together but it's inevitable that I will miss some bits out as some of my receipts are deep within my email folder *grumblegrumble* .. I only made one sale during those 17 days which is making this a bit tedious but I want to make sure I fill it out properly!

Thanks a million for any help and good luck to anyone busy with their tax return!

:)

[Caroleecrafts]

Strictly speaking you should include everything in the proper year. I have a folder where I put all my receipts, one in my handbag which I then transfer to the main folder to include in the accounts.

[iBeads]

Hi loukr

You can't count stock as an expense. What you need to count is called 'cost of goods sold' and this is exactly what it says, namely how much did it cost you to purchase the items that you then made into goods to sell. So, to answer your question, if you forget about supplies that you bought it does not matter, except if you then sold these.

Any stock you have remaining technically goes onto your balance sheet to be brought forward to the following year, but for very small businesses it may not be worthwhile to actually draw up a balance sheet in practice.

HMRC run some courses for new businesses on how to fill in your tax return, so you may find it useful to attend one of these. In fact, if your trading time was so short and you only sold one item I suggest you give HMRC a ring to discuss this.

As a general principle, assuming you complete your tax return online, you may later make alterations online (but these need to be items that go through your tax return, and your stock does not count).

I hope this helps rather than confuses, but basically I suggest you ring HMRC to say you only sold one item and see what they say.

Good luck.

[loukr]

Thanks for your replies, I did go to a workshop and plan on attending a couple more. The 'speaker' man at the one I did attend told me because I was only trading for those 2 weeks that I wouldn't need to fill one out until 2011/2012, however, I received a letter from HMRC stating otherwise and I called them up and asked them and they told me the man at the workshop was wrong!

The reason I'm so unorganised for this tax return is because prior to about 2 months before registering with HMRC I had no idea what was needed etc, so my receipts although I have them all somewhere, weren't organised at all :( Don't worry though, 2011/2012 should be much easier as they're all filed!

So let me get this right. I sold one print. The print was ordered to be printed at a lab with about 10 other prints. The customer received the following:

print
backing board
cellophane sleeve
envelope
postage

And I received a bit of profit.

So the above will all go on my tax return. and any remaining unsold stock I don't need to write anywhere on my tax return? Perhaps possibly a balance sheet for my own records? Is this correct?

I assumed that I would need to write everything that I spent out onto my tax return regardless of whether it's sitting at home or not,and how much my unsold stock is worth but as usual, I'm probably wrong!

Can't access the form as I haven't received my pin in the mail yet!

Thank you, thank you :)

[iBeads]

Yes, you are correct in the list you need to include. If you have overheads such as insurance, heating costs, website, advertising costs etc also include them. if you went on the course you will have the handout showing the categories of costs that need to be recorded.

Anne



Thanks for your replies, I did go to a workshop and plan on attending a couple more. The 'speaker' man at the one I did attend told me because I was only trading for those 2 weeks that I wouldn't need to fill one out until 2011/2012, however, I received a letter from HMRC stating otherwise and I called them up and asked them and they told me the man at the workshop was wrong!

The reason I'm so unorganised for this tax return is because prior to about 2 months before registering with HMRC I had no idea what was needed etc, so my receipts although I have them all somewhere, weren't organised at all :( Don't worry though, 2011/2012 should be much easier as they're all filed!

So let me get this right. I sold one print. The print was ordered to be printed at a lab with about 10 other prints. The customer received the following:

print
backing board
cellophane sleeve
envelope
postage

And I received a bit of profit.

So the above will all go on my tax return. and any remaining unsold stock I don't need to write anywhere on my tax return? Perhaps possibly a balance sheet for my own records? Is this correct?

I assumed that I would need to write everything that I spent out onto my tax return regardless of whether it's sitting at home or not,and how much my unsold stock is worth but as usual, I'm probably wrong!

Can't access the form as I haven't received my pin in the mail yet!

Thank you, thank you :)

[loukr]

Thank you Anne, I'll take a look through my folder when Im in the studio tomorrow :)

thanks so much!

[CatkinJane]

I was daft enough to name the 1st April 2011 as my start date for self-employment. Even though I sold nothing for some time after that I was still required to fill in a tax return for the 2010/11 year!

Wasn't too difficult though as there wasn't anything much to report!

Not looking forward to next year's return though, things will be more complicated and I really need to get myself on a course about what goes where.

Catherine

[AnnieAnna]

I think the answer to your initial question might be no.
So I think you would be wise to put time aside to get your head around filling in a tax form properly for this year. Look on it as a mini practise run for next year.
Unless ....
you are a banker or have a high paying day job and can afford to write off the twiddly little expenses you think you've forgotten. Cost your time. If you are earning £100 a hour you'd be better off doing that than spending 3 hours rummaging in the attic trying to find a receipt for £10. ;)