Income Tax Self Assessment
This section contains information on Income Tax Self Assessment Information.
As with the other sections it is in no particular order.
If you have any questions, concerns or doubts about your Tax affairs you should
consult an Accountant and/or the Inland Revenue.
Q.
I need help filling out my Self Assessment Tax Return, who will help me?
A. Your Local Inland Revenue Business Advisor.
Hang on a minute. You mean I can call my local Tax Office and they'll help?
Yes! And its a free Service.
Inland Revenue Offices have Business Support Teams staffed by Inland Revenue
Business Advisors who will come out to your premises and help you complete
your Tax Return.
For more information call the Inland Revenue on 0845 6070 143.
Q.
Every July and January I get hit with a huge bill for Tax and Class 4 National
Insurance, what can I do about it?
A. Pay it. If you don't it'll only cost you more in interest charges
and fines.
That's no help!
Well we interviewed John Lavelle, the MD of JQL, and asked him what he does.
"There are two certainties in life - Death and Taxes, and you can't
avoid either of them forever. So, if you can't avoid them, you need to plan for
them."
"The trick is not to think of it as 'your money'. It isn't! So get
it out of your bank account and into a separate, interest bearing account as soon
as possible. The fact of the matter is, that if you see a lump of money sitting
in your account, you'll want to spend it on the latest go-faster stripe for the
jalopy!"
"Every year I estimate what my Tax and Class 4 liability is going
to be based on the previous year's accounts plus a bit for growth, the Chancellor
and inflation etc." [if you go on the SA Workshop, the Inland Revenue
gives you a Ready Reckoner to help you work it out - ed]. "Then every
week transfer 1/52nd of that amount into a separate deposit account.
That way, when the bill arrives, its still a shock, but at least I can pay it
without difficulty."
"I use an ISA account to put some of the money aside, (though this
may not be suitable for you). This allows me to earn tax free interest on it as
well!".
"Blatant Plug. I mentioned Death And Taxes. We've covered Taxes, but
did you know that JQL also produces a Will Writing program called 'Create Your
Own Will'. It's available from all good computer shops like PC World, as well
as Staples and direct from
the UK distributors, Focus
Multimedia (in the Productivity section - reference: ESS305). So we can help
you plan for that eventuality as well."
Q.
What other help can I get from the Inland Revenue?
A. Quite a lot actually.
You mean they're not Ogres? They won't eat me if I've made a mistake or don't
know what to do?
No, we've found them to be quite human :-) .
The Inland Revenue have found that if they help you then they have less problems.
So they have set up The Business Support Teams to help you with your Small Business
Tax Affairs.
To use their own words...
"Our local Business Support Teams provide support to new and small employers
[and small businesses]. We can offer you detailed help on all aspects of payroll,
explaining what you need to do, the deadlines you need to meet, the forms you
need to fill in and the records you need to keep. We will talk you through any
problems you may be experiencing."
They also offer Workshops - Group Education and Assistance (in official parlance).
"We have arranged a series of half-day workshops designed especially for
new and small employers and business. Our Business Advisors have been specially
trained to support you. They will help you to understand what you need to know
and then take you through some case studies and practical examples. We cover the
following areas:
| Paying your Employees |
Paying Tax Credits |
| Calculating Director's NIC |
End of Year Returns |
| Statutory Sick Pay |
Becoming Self-Employed |
| Statutory Maternity Pay |
SA [Self-Assessment] for the Self-Employed |
| CIS for Contractors |
End of Year Return of Expenses and Benefits |
| CIS for Subcontractors |
IR35: Calculating the Deemed Payment |
| Collection of Student Loans |
Setting up a Limited Company |
| Paying Expenses and Giving Benefits to your Employees |
|
To find out more, or to arrange an appointment for a visit or workshop, ring
the Helpline for New Employers (0845 6070 143), visit www.inlandrevenue.gov.uk
on the internet, or look out for local advertising."
John Lavelle, the MD of JQL, has attended some of the above courses and
has found them very informative and extremely useful. They even supplied coffee
and biscuits. His tip is: don't be afraid to ask questions.
|
