Few basic questions 8 months in

[dude69]

There are a few inaccuracies in the replies above, so to correct those:

1. Date for filing the accounts with Co House is 9 months 1 day after the year end (or the anniversary date of incorporation in year 1)

It is 10 months from y/e or 22 months of incorporation for small companies. 7 months/19 months for PLCs.

It is paying CT to HMRC that is 9 months and 1 day from y/e.

2. Accounts need to be filed within 12 months of the company year end

To HMRC, along with the CT600 and tax calculation. In practice it seems to me a bit odd to send HMRC a cheque 9 months after y/e and then not send the accounts in for another 3 months after that, because the payment of the correct amount of CT would seem predicated on having actually done the accounts. The sensible way to do these things seems to me to be to do all before 9 months of y/e in one go in order:
1. Draw up P + L
2. Calculate Corporation Tax based on P+L and taking into account capital allowances and deducting non-allowable expenses. Create PDF version of the calculations, showing pro rate CT payments for each CT year if company's year is not April 1 - March 31. Round all figures to nearest pound in doing calculations
3. Update P+L based on CT liabilities derived in 2 to calculate net post-tax profit.
4. Create Balance sheet showing liabilities (CT payment, VAT due on work done but VAT not yet paid), and accruals (unbilled work)
5. Fill in Companies House accounts PDF using figures from 4 and fill in the notes. Do not submit at this point.
6. Create HMRC Accounts contaning everything from the Companies House accounts (balance sheet, notes,m etc.), plus cover sheet, shareholdings, director's statement re exemption from audit, and P+L, convert to pdf
7. Complete CT600 online at HMRC site. Fill in numbers. Cross-check calculated CT figures against those drawn up in step 2. If they are not the same, go back and correct figures and update balance sheet and calculations and CH accounts. Attach CT calculations (#2 above), and HMRC accounts pdf (#5 above)
8. Submit both CH accounts and CT600 form, having ensured that the calculated CT liability matches your balance sheet entry and matches the tax shown on your P+L

THere are a few potential mistakes to make with this process, so it's sensible to cross-check both CH and HMRC returns and to do them both some time before 9 months after y/e, even if you have longer to do the CH return. Mistakes include rounding problems, forgetting to apply differential CT rates bearing in mind that CT is basically going up every year and unless your accounts are April 1- March 31, you will need to pay at 2 different rates on pro rate portion of your income, as well as general arithmetic errors.

[Xenophon]

It is 10 months from y/e or 22 months of incorporation for small companies. 7 months/19 months for PLCs.

It is paying CT to HMRC that is 9 months and 1 day from y/e.



To HMRC, along with the CT600 and tax calculation. In practice it seems to me a bit odd to send HMRC a cheque 9 months after y/e and then not send the accounts in for another 3 months after that, because the payment of the correct amount of CT would seem predicated on having actually done the accounts. The sensible way to do these things seems to me to be to do all before 9 months of y/e in one go in order:
1. Draw up P + L
2. Calculate Corporation Tax based on P+L and taking into account capital allowances and deducting non-allowable expenses. Create PDF version of the calculations, showing pro rate CT payments for each CT year if company's year is not April 1 - March 31. Round all figures to nearest pound in doing calculations
3. Update P+L based on CT liabilities derived in 2 to calculate net post-tax profit.
4. Create Balance sheet showing liabilities (CT payment, VAT due on work done but VAT not yet paid), and accruals (unbilled work)
5. Fill in Companies House accounts PDF using figures from 4 and fill in the notes. Do not submit at this point.
6. Create HMRC Accounts contaning everything from the Companies House accounts (balance sheet, notes,m etc.), plus cover sheet, shareholdings, director's statement re exemption from audit, and P+L, convert to pdf
7. Complete CT600 online at HMRC site. Fill in numbers. Cross-check calculated CT figures against those drawn up in step 2. If they are not the same, go back and correct figures and update balance sheet and calculations and CH accounts. Attach CT calculations (#2 above), and HMRC accounts pdf (#5 above)
8. Submit both CH accounts and CT600 form, having ensured that the calculated CT liability matches your balance sheet entry and matches the tax shown on your P+L

THere are a few potential mistakes to make with this process, so it's sensible to cross-check both CH and HMRC returns and to do them both some time before 9 months after y/e, even if you have longer to do the CH return. Mistakes include rounding problems, forgetting to apply differential CT rates bearing in mind that CT is basically going up every year and unless your accounts are April 1- March 31, you will need to pay at 2 different rates on pro rate portion of your income, as well as general arithmetic errors.

dude69 is awarded +5 Xeno Geek Points.

[51st State]

register for PAYE online. There might still be cashback for this?

Yep it's still available - £100 offset against 2008/09 payment.

[basshead]

This appears mixed up?

Only one way to clear this sorry mess up...

ACCOUNTANT FIGHT!!!

[where did my id go?]

The 10,000 limit is per tax year, but restarts with every new employer.

And just to be clear on this, a new contract is NOT a new employment.

[ruth11]

And just to be clear on this, a new contract is NOT a new employment.

Ok, just to clarify the mileage question for complete dumb-asses like me....

I was under the impression that it was 10000 miles per year @40p, regardless of number of different clients, then I read this thread and got confused. But I think as I've been writing this, I get it.

I'm thinking that by employment, you mean my personal employment with my own Ltd Company and therefore even a new contract with a new client will not reset this limit. The contract is with my co rather than me and I still work for my co. This is a personal allowance and therefore nothing to do with the contracts\clients, right?

Sounds a lot different when put like that, than it did earlier in the thread so I thought I'd spell it out for others like me. Turns out after all that, my original understanding was right, so yay me!