+- WBAUnofficial (https://wbaunofficial.org.uk)
+-- Forum: WBAUnofficial (https://wbaunofficial.org.uk/forumdisplay.php?fid=3)
+--- Forum: WBAUnofficial (https://wbaunofficial.org.uk/forumdisplay.php?fid=4)
+--- Thread: Any accountants on here who could help me with a first self employed tax assessment? (/showthread.php?tid=7543)
Pages:
1
2
Any accountants on here who could help me with a first self employed tax assessment? - Jezstatham - 11-28-2019
I'm a bit confused
It's actually for my baggie son but I'm the one stressing about it!!
RE: Any accountants on here who could help me with a first self employed tax assessment? - baggy1 - 11-28-2019
Does he have a turnover of less than £85k (Total sales figure)
RE: Any accountants on here who could help me with a first self employed tax assessment? - Jezstatham - 11-28-2019
Yes it's probably around 15k
RE: Any accountants on here who could help me with a first self employed tax assessment? - fuzzbox - 11-28-2019
Genuine advice which has saved me money and sleepless nights -
As long as you're not trying anything too 'exotic' with your taxes, ring them or go and see them.
I was reluctant at first, but they've always been incredibly helpful, fair and inderstanding.
(don't get on the wrong side of them, though...)
RE: Any accountants on here who could help me with a first self employed tax assessment? - Jezstatham - 11-28-2019
He signed up for self assessment in June 18 but didn't leave his "proper" job till February this year. Since then he's been at home working. Another issue we have is 3 weeks ago his old work asked him to help them out so he agreed and they drew up a contract and he's been on PAYE. Hes been on an emergency taxcode OT the first 2 weeks. He gave them his P45 on Monday which he was given when he left and today's wageslip shows an 1185l taxcode which I think is correct but he's paid 50% tax!!. Will this get adjusted or has he got to wait till next April and claim it back?. He's probably going to be working there another couple of weeks.
RE: Any accountants on here who could help me with a first self employed tax assessment? - fuzzbox - 11-28-2019
(11-28-2019, 02:43 PM)Jezstatham Wrote: He signed up for self assessment in June 18 but didn't leave his "proper" job till February this year. Since then he's been at home working. Another issue we have is 3 weeks ago his old work asked him to help them out so he agreed and they drew up a contract and he's been on PAYE. Hes been on an emergency taxcode OT the first 2 weeks. He gave them his P45 on Monday which he was given when he left and today's wageslip shows an 1185l taxcode which I think is correct but he's paid 50% tax!!. Will this get adjusted or has he got to wait till next April and claim it back?. He's probably going to be working there another couple of weeks.
That is exactly the sort of stuff you should phone them up about. In fact, even when I gad an accountant, I still used to ask them! You'll get a straight answer pretty quickly.
No expert, but as you obviously know, the 1185l taxcode shouldn't be 50% emergency tax. I can see why they would put him on emergency tax, though and yes he will be able to claim it back. As to when, I think you can ask for it whenever, but again, ask them. They were always helpful to me.
Just my opinion - I think he would have been better off invoicing them...
RE: Any accountants on here who could help me with a first self employed tax assessment? - baggy1 - 11-28-2019
For the self assessment part that will be pretty straight forward. He can register on HMRC and he will fill out a short tax return for his business, by the sounds of it the only figures he will have to put in will be sales and total costs (lumped together). As FB says give them a ring they are pretty helpful and will help to sort that out.
As for his PAYE, does he have a 1 after the tax code? That would indicate that he is on a month 1 basis. Get him to sign a P46 with them. That should get adjusted and he will get a bumper month at some stage I reckon - hard to tell without the details tbh, but again speak to the tax office (get him to I mean) and they will help sort it.
RE: Any accountants on here who could help me with a first self employed tax assessment? - Jezstatham - 11-28-2019
It just says NI Rate A Tax Code 1185L
RE: Any accountants on here who could help me with a first self employed tax assessment? - Juan Quidonqui - 11-28-2019
It sounds to me like whoever he gave the P45 to at his employer entered those pay and tax figures into their payroll system which then generated the large tax figure due. But they shouldn’t have done that as those figures relate to the previous 2018/19 tax year (as his P45 was from when he left in Feb 2019).
The PAYE system works on a cumulative basis so it works out tax based on what you’ve earned at all of your employments in the current (2019/20) tax year.
It works as long as some daft bugger doesn’t use the pay and tax figures from a previous tax year.
Suggest he has a word with someone who deals with the payroll at his employer as I think this may be their error.
RE: Any accountants on here who could help me with a first self employed tax assessment? - baggy1 - 11-28-2019
(11-28-2019, 03:32 PM)Juan Quidonqui Wrote: It sounds to me like whoever he gave the P45 to at his employer entered those pay and tax figures into their payroll system which then generated the large tax figure due. But they shouldn’t have done that as those figures relate to the previous 2018/19 tax year (as his P45 was from when he left in Feb 2019).
The PAYE system works on a cumulative basis so it works out tax based on what you’ve earned at all of your employments in the current (2019/20) tax year.
It works as long as some daft bugger doesn’t use the pay and tax figures from a previous tax year.
Suggest he has a word with someone who deals with the payroll at his employer as I think this may be their error.
This - good spot Juan, hadn’t put 2&2 together there