FREE PERSONAL/SMALL BIZ TAX HELP. Self assessment deadline looming

kuler

Tony
Very quick one:
I'm self employed and been doing work for the same company last tax year and this tax year and under the CIS scheme. Prior to 4th April 2007 I understand I was to be taxed 18% at source and given tax vouchers, whereas this year I am to be taxed at 20% and not given any vouchers. My query is this: If I carried out work in last tax year, but only invoiced for it in this tax year, :
1. Should they have taxed me at the 18% (taxable amount at the time the work was carried out) and given me tax vouchers, or at 20% (taxable abount at time I invoiced them) and no vouchers?
2. Should this income be included in last years (2006/2007) self assessment or this years (2007/2008)?

It's a significant amount (to me, anyway!) of around 8k.

Many thanks in advance.

Kuler.

Lifeisbutadream

Seeing post #31 has made me think. I do not understand the 40p per mile from the tax man?

Currently we have two vehicles, one is a van, used 100% for the business (joinery and building business) - I just put all receipts through the books, including vehicle tax, diesel, repairs, MOT etc.

Second vehicle I use to deliver/collect materials, and for quoting. it is also used if van is being repaired etc. I just put through receipts for petrol, working out a percentage on an average use for the business.

Should I just be working it out on 40p per mile? if that is the case I would probably end up with more than I currently claim for.

tazmeen_2

hi, i started trading as a driving instructor in dec 06 and am filing a short tax return in next month. i had a car before i started trading but can i include it in the form and where do i put it on the forms please

also i had bought a sat nav a few months earlier than trading to use for when i start working, can i submit the receipt in

seelyb

Hi Tony
I work from home as a self-employed consultant, so spend at least 3 days a week on average on associated work and admin here. What would be reasonable costs to set against tax please, without running into any potential problems of capital gains or anything else with regard to business use?
As my income fluctuates, should this be % of turnover or a different type of calculation?
Many thanks
seelyb

seelyb

Hi, Lifeisbutadream
This is an easy one because you have a choice!
You can claim 40p a mile for business use but this is all you can claim. So if your capital allowances, tax, insurance, repairs and maintenance etc on the business vehicle amount to less than you could claim on 40p per mile then this might be an advantage, but you can't swap between ways of claiming for the same vehicle on your tax returns year to year.
If you have more than one vehicle you can claim using different methods for each one if you wish. My understanding is that you have to keep full records of business use mileage and receipts etc in either instance in case the IR wish to query claims.
Hope this helps.

patrick_Cavanagh

I am a school photographer and have not been claiming home office costs as I use an open plan living/dining/patio area as my office. Digital photography has increased the computer use to many hours a day, in busy periods this can be 8-10 hours per day. How can I claim the electric etc costs against tax and how far back can I go

mad_as_a_hatter_3

Hi Martin's Uncle Tony!

I work from home as a sole trader(not VAT registered) and I do work for two companies which I have to visit their premises several times a week. Can I claim tax relief on travelling expenses from home to their premises even though i don't charge them for my travelling expenses? Can I claim a portion of my car costs as a business expense eg tax, insurance, maintenance etc?

Also, I lease a laptop for work. I bought it from PC world and they told me that as it is leased I can claim tax relief on the full lease cost. is this correct?

This is my first year of trading. Are there any other costs I can claim for?

Many thanks:A

travel_freak

Hi Tony,

This is more of a question for my future (I hope!). If you receive work via the internet from businesses based in England but you move to Spain and pick the work up there on the web and actually do it in Spain with payments probably being made to a UK bank account, in which country do you declare your earnings for tax purposes - still in the UK or in Spain?

Many thanks.

ebayer123

Hi i work part time as a nurse and pay my national insurance and tax as normal at that job. I have also started a small online business on ebay and wanted to know where i stand regarding paying tax and national insurance. I heard a rumour that as long as i dont earn any more than £7000 from my business that i am not liable for tax but i find that hard to believe and cannot find any information on such a scheme if there is on. Can you advise ?

mistdemon

Hi Tony
Along with a few other neighbours i recently formed a Residents Assocation to help with the upkeep/improvement of the village green (or at least provde a united front when we need the council to do something!). I agreed to be Treasurer so just want to make sure I do it all right. Do i need to register the Association for corporation Tax?

We're all volunteers and our income, if any, is likely to be in the low £hundreds - mainly raffle money from the general meetings, funds raised on bric-a-brac stalls (all stock donated by residents) at the occasional fete and possibly around £300 of Local Govt community fund money if we're lucky! Obviously as we're a Community group we plan to spend it all anyway on things like hanging baskets, extra litter bins, benches etc...
The HMRC website suggests contacting the local tax office. I've tried that but always seem to end up on hold...much as I like listeining to Mozart I suspect he's not the leading authority on UK tax law!

Cheers