Decided to start up, question about self assessment

acharris

Hi all, I am going to start up my own business after thinking about it and am going to start from October hopefully. Anyway, I was wondering when I would have to fill out a self assessment form. As I won't have been self employed by 31/12/06 for long and surely I couldn't fill out my records accurately to the inland revenue would I.

Also a question on WTC, if I get awarded how would I fair on coming off JSA and on to WTC, as will I have to have a gap without money on the change over or would it pick up as JSA ends and WTC starts.

Any advice is appreciated.

Anthony

Debt_Free_Chick

acharris wrote:

Hi all, I am going to start up my own business after thinking about it and am going to start from October hopefully. Anyway, I was wondering when I would have to fill out a self assessment form. As I won't have been self employed by 31/12/06 for long and surely I couldn't fill out my records accurately to the inland revenue would I.

Start keeping accurate records NOW. File all your expense receipts in date order. Same with your invoices (copies). It would help you to keep track of this in a spreadsheet too. You will need different columns for different types of expenses e.g. stationery, postage, mileage, buying goods etc

You will need to do a self-assessment tax return as at 5th April next year and file it with the Inland Revenue by 30 September next year, if you want the Inland Revenue to calculate the amount of tax you owe; or by 30th December next year, if you are happy to calculate the tax yourself.

You can register now to file your tax return online. You might as well do the registration now so you get your username & password - but keep them safe, or put the details in a file on your PC.

Also a question on WTC, if I get awarded how would I fair on coming off JSA and on to WTC, as will I have to have a gap without money on the change over or would it pick up as JSA ends and WTC starts.

Any advice is appreciated.

Anthony

It should be seamless, but you will almost certainly have to wait for the WTC to be processed. So, yes, you will probably have a gap without money. To start any business, you really need to have saved money to see you through the first few months until your business starts to produce a regular income. But I can see this might be difficult if your income is JSA only. Have you spoken to the local job/employment office?