When do you do your Tax Return?

[Pinkbunny28]

This is for anyone who is self employed. As it's the last day of the tax year today we will all be getting our letters shortly.

Do you do it straight away? Do you set aside a day or 2? Are you organised all year so it just means plugging in numbers? Or do you leave it until the end of Jan the following year?

Do you always make sure you plan your tax and save the recommended 30% or do you just see what happens?! x

Sent from my GT-I9300 using SalonGeek mobile app

 

[Mobile Manicure]

I do it during the summer school holidays in August. I don't ever set anything aside for it as my bill is usually quite small, l had to pay £335 this year. I only work part time.

 

[Redduck]

I used to leave it till January and dreaded doing it. Now I do my accounts weekly and it's so much easier. As soon as I get all the interest statements from accounts I'll then submit them. Much less stressful! I save a percentage of all my takings so I can pay the tax bill with no problems.

 

[Nat-Nat]

I add up every week, put in in April and see what I owe and save what I need to and pay in Jan! Why let hmrc haven interest when I could??

 

[squidgernetball]

I used to leave it til the last minute and panic like mad when I got my tax bill. This year I had to borrow some money from my 18 year old daughter to pay it! We went limited in Jan and I feel better already. I'm a lot more business like about it and am keeping much better records.

Vicki x

 

[Jojo@salongeek]

This will be my first year too. When should we receive our letters?
JoJo x

 

[Nessa1980]

This will be my first year too. When should we receive our letters?
JoJo x

Sometimes in summer I think? You have until the end of October if you want to submit it by post or end of January if you prefer submit it online xx

 

[nicole333]

With my first one I did it in the January and it was way too stressful leaving it until then as it was a steep learning curve for me. So my last one I did in November and it went much more smoothly.

Each day that I have clients I update my records along with each time I have an expense, so it's all there waiting. For this year just ended I only have to add my mobile and Broadband % and I'm good to go. It feels so much better being organised.

 

[Nessa1980]

With my first one I did it in the January and it was way too stressful leaving it until then as it was a steep learning curve for me. So my last one I did in November and it went much more smoothly.

Each day that I have clients I update my records along with each time I have an expense, so it's all there waiting. For this year just ended I only have to add my mobile and Broadband % and I'm good to go. It feels so much better being organised.

Hey Hun how do you work out, mobile and broadband? Xx

 

[nicole333]

It all depends on how much you use for private and how much you use for business. I use both mostly for business but only claim 50% or it would drive me mad working it out.

 

[blossom]

Straight away. well, within a couple of weeks or so anyway. Makes me feel smug :green:

No really its just that I hate the thought of doing it more than doing it, so I just do it and get it out of the way. Does that make sense?lol

 

[cloughers]

I did mine today. Wanted to do it straight away because I thought I would be getting a rebate.

 

[Dream Nails]

Mines all done. I like to start the new year without the old one hanging over me
Vicki x

 

[hazeleyes]

So can I maybe ask- if you do your tax return now when do you pay what tax is owed? Straight away? Or by when, October? Or next January?

Sorry to intrude but only just set up as self employed last week, so kind of keep dipping into this thread with interest!

 

[Mobile Manicure]

I submit all my spreadsheets to my accountant before Christmas and the he submits it online for me before the Jan cut-off. Hubby and I use the same accountant and we do it all together cos there's other investments and things in both our names that need to be accounted for. I just like getting my spreadsheets done in August.

 

[Debsidoo99]

I always do mine as soon as the tax yr ends. If you have to make payments on account the payments are on 31 July and 31 jan. Therefore if I get mine submitted before end of July I am making the payment on account based on the correct figures rather than the previous yrs tax return which might make the payment higher or lower than it should be. Being organised this way also make sure I have no unpleasant surprises when it comes to paying my tax bill!
Lucky me.....guess what I'm doing today?! Hate the job but always feel v pleased with myself when it's done! X

 

[Debsidoo99]

Hazeleyes....if you complete yr tax return for the tax year that ended 5 April 2014 the tax bill will be due on 31 jan 2015. If the tax due is over £1000 you will have to make payments on account of the next tax yr. If the bill was £1200 for 5/4/14 then these are the payments due:
31/1/15 £1200
31/7/15 £600 (50% of previous yrs bill)
31/1/16 £600 plus any extra that may become due for tax yr 5/4/15. This figure may not end up being £600 if yr bill is lower than previous yr.
I know this is confusing but the sooner u get yr tax return done the sooner u know what is due and can budget accordingly.
HTH.....x

Ps if yr bill is less than £1000 then you only have one bill to pay on 31 jan 2015

 

[Miss Sparkle]

A few years ago I submitted by post and was clobbered with a £100 late fee - I posted it a couple of days early but had no proof and in any case - it was late in the day. So now I do it online and in July. I keep my accounts up to date nowadays which makes things a lot easier. I used to do it at the last minute in a mad rush, but I've learned now!

 

[hazeleyes]

Hazeleyes....if you complete yr tax return for the tax year that ended 5 April 2014 the tax bill will be due on 31 jan 2015. If the tax due is over £1000 you will have to make payments on account of the next tax yr. If the bill was £1200 for 5/4/14 then these are the payments due:
31/1/15 £1200
31/7/15 £600 (50% of previous yrs bill)
31/1/16 £600 plus any extra that may become due for tax yr 5/4/15. This figure may not end up being £600 if yr bill is lower than previous yr.
I know this is confusing but the sooner u get yr tax return done the sooner u know what is due and can budget accordingly.
HTH.....x

Ps if yr bill is less than £1000 then you only have one bill to pay on 31 jan 2015

Ah I get it. Thank you so much very helpful!

X

 

[Trinity]

Co-incidently my business year ends at the end of March too, so I close my books for the year on 31st March.

Every day I enter my takings on an excel spreadsheet, every couple of months on a quiet day I enter my outgoings. Each months takings have a formula that totals the takings, deducts 1/12 of last years expenditure, then 20% for tax, whatever is left is my wage for the month.

My books are done and ready for the accountant usually within the first week of April, they get delivered to the Accountant a few days after my letter from HMRC arrives, he does my return and tells me how much is owed within about 2 weeks, I pay by BACs within a couple of days, it's all done and dusted by end of May at the latest.

I know it doesn't have to be paid until January but I don't want it hanging over my head all that time. I'm on to the next year :lol: