Self - assessment - Help with tax year end

Mago71

Hi, I'd love some advice please. I registered for self-assessment with HMRC online from the 10th December 2007, and (apart from NI demands) have received no further communication from them.

Last week, I asked them to send me my Unique Taxpayer Reference, which they've done and I'm now registered and set up to do my return online for the first time. At the same time, I've received a letter (two days ago) stating "we now believe you should be completing a tax return each year...we will let you know which tax return we want you to complete"

I'm confused as to whether I should have filed a return from December '07 - April '08? Or have I done the correct thing and waited for more communication? I realise that the deadline for '08-'09 is this Sunday, and I've got everything in order in terms of paperwork to file the returns. Should I do one now for April '08-'09 regardless?

Any help/advice GREATLY appreciated!

sandiep

You are due to report income etc for the period 10th December 2007 to 5th April 2008 by 31 January 2009

For 31 Janauary 2010 you need to file 12 months accounts, for your first year end, what ever that may be.

I would prepare accounts for the period 10 December 2007 through to 5th April 2009. This way you've covered all bases.

Mago71

Sandie, thanks so much for your prompt and helpful reply. Does that mean that I can submit accounts online for, effectively, a 16-month rather than 12 month period? i.e. Can I submit Dec '07 - April '09 in one go? That would be ideal!

Thanks!

fengirl_2

No, you can't, you need to apportion your profits between tax years as tax is payable for each year that you are trading. You are late with your 07-08 return and are subject to a fine, so you need to complete the outstanding return as soon as possible.

Mago71

Fengirl,

Thanks so much for your reply. I've actually just checked on my online account, and it's now saying that HMRC have issued a tax return demand on Jan 28th (I haven't received it yet), for '08-09 which needs to be returned by 4/5/2010 - does that mean I've got some breathing space, or that they've somehow 'forgotten' when I've started?

In your opinion, can I sort this out myself, or should I just grow up and take it to an accountant?

With many thanks,

Horace

Mags - you could do your self assessment yourself, however, it may be more beneficial to use an accountant because they can help you save money and can submit the self assessment online for you (you need to give them your unique number). I have an accountant and I know she contacted the HMRC on my behalf regarding my unique number which I passed to her and she has done the rest.