Help please self Assesment demand

jumbobimbo

I am a 25% partner in a small company that has made a small profit over the last couple of years, last year was very good for us. However, my actual income is based on a 'fixed' amount and doesnt take into account that amount, which also allows for bank loans and the usual outgoings.

I have just received a demand for payment in Jan 2012 meaning I owe over 3000 for balancing payments etc plus payment on account.

Now, my tax bill for a PAYE employee on the similar 'wage' would be about 3200 a year, so what is my accountant doing wrong that means I owe over 3k and then a further payment in July?

Not only this, but I have had to go to CCCS to deal with my unsecured debts as they rose far higher than my earnings.

Clearly something is wrong, the HMRC have been agreeing monthl;y payments over the last 8 months but now expect the total to be paid, which on my small wage is impossible.

Thanks in advance

ceeforcat

When did you become a partner?
What share have profit have you received since becoming a partner in each set of accounts?
Have you any other sources of income?

I have presumed that you use the term 'company' loosely and you are in fact in partnership in a non-limited enterprise.

antonic

A couple of questions for you

jumbobimbo wrote: »

I am a 25% partner in a small company that has made a small profit over the last couple of years, last year was very good for us. However, my actual income is based on a 'fixed' amount and doesnt take into account that amount, which also allows for bank loans and the usual outgoings.

I have just received a demand for payment in Jan 2012 meaning I owe over 3000 for balancing payments etc plus payment on account.

Now, my tax bill for a PAYE employee on the similar 'wage' would be about 3200 a year, so what is my accountant doing wrong that means I owe over 3k and then a further payment in July?

Not only this, but I have had to go to CCCS to deal with my unsecured debts as they rose far higher than my earnings.

Clearly something is wrong, the HMRC have been agreeing monthl;y payments over the last 8 months but now expect the total to be paid, which on my small wage is impossible.
1) Did you get the arrangement CONFIRMED in writing ?
2) Have you kept to this arrangement ?

Thanks in advance