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Notice to make a CT61 Return
TipsyTaylor
Posts: 58 Forumite
Hello everyone!
Looking for some assistance on CT61 returns...
I have recently started a company and have been 'trading' for the last three months. Have just received a CT61 tax return and am unsure what I need to declare? So far our only business is purchasing advertising space for companies, where we have charged the publication we have recommended to each of our clients a 10% agency fee - for example, if we have placed an advert on behalf of our client, at an agreed rate of £1,000, we have billed the client £1,000 (plus VAT) and have paid the publication £900 (plus VAT) - so, although there has been a few thousand pounds going through our business account, the actual net profit is relatively small. Do I need to pay on all income, or just the profit? Any help gratefully received, as I am stuck!
Thanks,
Tipsy
Looking for some assistance on CT61 returns...
I have recently started a company and have been 'trading' for the last three months. Have just received a CT61 tax return and am unsure what I need to declare? So far our only business is purchasing advertising space for companies, where we have charged the publication we have recommended to each of our clients a 10% agency fee - for example, if we have placed an advert on behalf of our client, at an agreed rate of £1,000, we have billed the client £1,000 (plus VAT) and have paid the publication £900 (plus VAT) - so, although there has been a few thousand pounds going through our business account, the actual net profit is relatively small. Do I need to pay on all income, or just the profit? Any help gratefully received, as I am stuck!
Thanks,
Tipsy
0
Comments
-
You only pay tax on profit. That is the sum of all income minus the sum of all costs and legitimate business expenses.
I can't help thinking you would be better off with an accountant.Eat vegetables and fear no creditors, rather than eat duck and hide.0 -
Hi Phill99,
Yes, an accountant is on the cards. I didn't want to go that way from the very start, as income in minimal through this business, but looks like I will need to.
Regards,
Liam0 -
An accountant will easily save you kore than they cost, especially if you run a limited company.Eat vegetables and fear no creditors, rather than eat duck and hide.0
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