Tax return for sole trader

stevetuk

I basically transitioned from sole trader to LTD (inc VAT registration transferred) about a year ago so have had to submit two tax returns - one for sole trader and one for company.

The accountant has billed separately for them both - am I right in thinking I can't pay for the personal tax return from company accounts, and that I also won't be able to claim the VAT back off the bill as the VAT reg is now with the LTD company?

Pennywise

stevetuk wrote: »

I basically transitioned from sole trader to LTD (inc VAT registration transferred) about a year ago so have had to submit two tax returns - one for sole trader and one for company.

The accountant has billed separately for them both - am I right in thinking I can't pay for the personal tax return from company accounts, and that I also won't be able to claim the VAT back off the bill as the VAT reg is now with the LTD company?

Surely, you could ask the accountant - after all, they're presumably the ones who've dealt with the transfer. A quick phone call/email should clarify.

Aquamania

stevetuk wrote: »

I basically transitioned from sole trader to LTD (inc VAT registration transferred) about a year ago so have had to submit two tax returns - one for sole trader and one for company.

The accountant has billed separately for them both - am I right in thinking I can't pay for the personal tax return from company accounts, and that I also won't be able to claim the VAT back off the bill as the VAT reg is now with the LTD company?

Seek clarification from the accountant who sent you the bills.

stevetuk

Obviously that did occur to me first before posting on MSE forums, but he has gone away for a week on holiday...

00ec25

payment of a personal tax preparation bill by the company would be classed as a non business expense and would mean no vat claimable by the company
If "you" were to pay it from the Ltd then the payment must be classed as a director loan transaction otherwise it will give rise to a (personal) benefit in kind and require the Ltd to send a P11D to HMRC.

stevetuk

00ec25 wrote: »

payment of a personal tax preparation bill by the company would be classed as a non business expense and would mean no vat claimable by the company
If "you" were to pay it from the Ltd then the payment would be classed as a director loan transaction.

Perfect, thank you! That's really helpful.