You mean the ''Flat Rate'' ?
If so why are you still on it ? Very few Benefits to it now.
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[Finance] Quarterly tax returns for self employed
- Thread starter LamieRobertson
- Start date
You mean the ''Flat Rate'' ?
If so why are you still on it ? Very few Benefits to it now.
Normski1989
Well-known member
It's a stupid idea. It'll either result in an unnecessary increase in accountancy fees or people will try to do it without professional help and probably get it wrong.
You probably haven't heard much from your accountant, because they don't know exactly what's going to happen thanks to a lack of clarity from HMRC. The really stupid thing is that you still pay tax annually and there aren't any penalties for submitting incorrect information in the interim submissions, as long as it's correct at the year end. So I can't really see the benefit of it.
You probably haven't heard much from your accountant, because they don't know exactly what's going to happen thanks to a lack of clarity from HMRC. The really stupid thing is that you still pay tax annually and there aren't any penalties for submitting incorrect information in the interim submissions, as long as it's correct at the year end. So I can't really see the benefit of it.
Gazwag
5 millionth post poster
Capital allowances and other such accounting adjustments will be dealt with on the final adjusting return.
For anybody who files VAT online it won't actually make much difference if you use your software to file the return. All that will happen is the amount of information transmitted to HMRC each quarter will go up.
The only people getting rich will be Sage, QB, Xero etc as everybody will be forced to purchase their products annually
crookie
Well-known member
My accountant does all mine as it's a bit complicated. Business partnership with my brother for a pub, and I have my own Retail/Courier business. Are we likely to see a big increase in fees, or will it just be the same work spread throughout the year ? Any accountants on here ?
LamieRobertson
Not awoke
- Thread starter
- #25
Thanks for reply
LamieRobertson
Not awoke
- Thread starter
- #26
There’s a lot to be clarified ..so best he chat with his accountant i’m just throwing a few things out there..and it’s not happening for another 16 months for the likes of you and me ..but i’d like to be prepared
Wrong-Direction
Well-known member
- Mar 10, 2013
- 13,416
Just more pen pushers making things up whilst the rest of us are out working!
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chimneys
Well-known member
- Jun 11, 2007
- 3,589
Read his other post above. He does very, very nicely out of it.
Wish I could say the same, but there are absolutely no benefits (bar convenience) to me now as effectively I pass on full rate, but cant reclaim any of my input VAT. In fact I lose out of it!!
Better maybe to ditch the flat rate scheme and account for VAT normally then? Worth looking into anyway if you actually have to still be VAT registered (turnover above the threshold).
Corbyn and McDonnell will reign under this new self employed tax regime.
Would you object to paying tax then?
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chimneys
Well-known member
- Jun 11, 2007
- 3,589
You are absolutely right and its only the ballache of accounting for everything that is stopping me. That said I need to do it for my annual accounts/returns so would be good discipline. Would prefer to deregister but I cant.
HMRC will be providing free software to enable quarterly MTD returns to be made online.
maltaseagull
Well-known member
I didn't know about this before now, but surely declared income is actual received money not invoiced but not paid yet?
maltaseagull
Well-known member
Course not!
He seems to think that the tories keep all the tax paid for themselves and don't spend it on all sorts of public services.
LamieRobertson
Not awoke
- Thread starter
- #35
I don't know..just speculating really....its just the lack of info ....also someone else posted that you would still pay tax once a year..not sure how they know that...for someone like me its another 16 months before it takes effect...i'll be having a chat with the accountant sometime or other.
The fact that its been delayed a year would suggest there are a few issues to be resolved
That's cash accounting.
Accounts and tax returns are normally based on the accruals principle, that is the value of work done or goods despatched in a period = turnover/income.
The date sales invoices are issued or monies received, isn't the determinant of business income.
maltaseagull
Well-known member
I have no idea what that means as I was a self employed driving instructor so clearly was a cash based business. I bow to your expert knowledge
LamieRobertson
Not awoke
- Thread starter
- #38
Spot on
It's not to them. 95% of it is spent on all the obvious things - NHS, social support, education, transport, defence, etc. 5% of it is spent on interest servicing the £1.8t.
That £800b of annual spending is paid for by £740b of tax/rates income and £60b of extra state borrowing per annum.
Labour would most certainly not lower taxes, in fact they would target companies, higher earners and those with property wealth. They would increase state borrowing too, to increase state spending.
I have no idea what that means as I was a self employed driving instructor so clearly was a cash based business. I bow to your expert knowledge
In your case, they're probably exactly the same, assuming your students don't owe you money or vice versa at your accounting year end.