Taxing Times

Terry_Davison

I do some voluntary work in my spare time. I am not paid as such but I do receive reasonable expenses to cover petrol, meals and lost/broken tools etc. Generally I pick up approx £60 for 6hrs work. Is this fee "reasonable" and what is considered too much. If mileage is taken out of the equation and paid separately, then is this fee still reasonable.

corners_2

Hi

We've just completed my husband's first full year accounts, and we know how much tax he has to pay for 2004-2005.

We realised that the HMRC would like it paid in full January 31 2006, but weren't expecting to pay half as much again in advance for 2005-2006.

Is it worth getting in touch with HMRC to ask if they would allow us some extra time to find the advance payment as it is a real stretch for us?

Cheers

Terence_G

Re advice from Tony Tesciuba
I took early retirement from BT 3 years ago. Pay tax on my pension. I also take various temp jobs from time to time on which I pay tax. I also work as a musician mostly paid in cash -- taking out legitimate expenses I make a loss on this.

Should I complete a self assessment tax form?

Am I self employed or employed?

philip

I work, my wife doesn't(not paid anyway). We have net rental income around £9000 pa.I am registered for self assessment, but not my wife.Can I just split the £9000 50/50, declare my share and not inform the tax office of my wife's share, which is covered by personal allowances anyway.

Eddie_D

Hi.

I've been self employed for the past eighteen years. During that time I've amassed a considerable amount of paperwork - mountains of it. If turned into fuel pellets it could probably heat a small planet for the remainder of eternity. Needless to say, I'd like to ditch as much of it as possible.

Question - for how many years is a sole trader obliged to keep old invoices, receipts, books, etc., for Income Tax, NI and VAT purposes? Secondly - is it wise to keep these records for longer than you have to?

Thanks

Alanw8888

I am self employed & on a number of occassions I have also undertaken some ad hoc deliveries for a customer and charged them less than the permitted 40p per mile allowance - ie I charged say £35 for 100 mile journey can I claim £40 in tax relief to offset against other tax due? :rolleyes:

mrvenkat

Thanks to Tony & Martin. I am a self employed doctor registered with a limited company and getting paid through Freelance Professionals. I filed tax returns in last April, should I file again before 31st Jan? Freelance charges me heavy fee for invoicing and they also do the business expenses return service but the fee is high again. Can I postpone to claim expenses until tax filing, so that accountant will do that, or, is it mandatory to claim expenses up to date every month? Are there any corporations that offer invoicing, accounting and tax service at cheaper rate for people like me who wants to work with a limited company?

mccormickhome

My wife no longer works, is there any way I can use her tax benefits....other than ensuring all savings are in her name (all £1 of it !)

keep up the good work

hennypenny_2

Hi, my partner works for a sole trader (building trade) for an hourly rate but is responsible for paying his own tax and NI. I complete his tax return every year before September so all tax/NI due is calculated by IR. His income has been quite low with only ever a few pounds due to be paid as he only works part-time. This year though, as well as working for an hourly rate as stated above, he has done some jobs for another builder but on a price per job basis, earning a fair bit more than in previous years. I understand he will have more tax to pay for this tax year but am wondering if we can offset some of the income against expenses for tools, petrol, etc. It is our family car he used to get to and from the houses he was working at. I'm guessing he will earn approximately £12-15k this year, as opposed to the usual £4-5k - is it worth us contacting a professional accountant to complete the tax return (guessing it will cost us a few hundred pounds)? He also started using a CIS card a couple of months ago so some tax and NI has already been paid via this method.

My partner is also considering stopping working for the sole trader on an hourly rate, and starting up as properly self employed doing price jobs for a few different people - who should we speak to regarding tax, accounts and other such requirements/information for becoming a sole trader?

Hope you can help.

emdanlau

i rent out caravans and am also a childminder so have 2 self employments. The 1st year i had depreciation on the caravans and wondered if you were aware of the second or subsequent percentages. I was going to employ an accountant but after reading martins tips i realised i could carry on doing my own but just did not know this info. thanks thanks thanks!