Tax Help Please

[amure1]

Hi All

Ive just joined this site, had a quick look around and have not found any relevant info but maybe I've just been looking in the wrong area if so sorry for the repeat post..

Here is my problem (I will try to keep it as short as possible):

Ive been contracting for a few years now and due to problematic Umbrella companies, I decided to go the Limited company route last year (07/2008). Unfortunate about 4 months into my contract I fell ill and have not worked since. So I have only worked for the first 4 months and now I have to sort out my tax.

As you can guess with the whole unexpected 3/4 of the year out of work money is a bit tight at the moment and I was wondering if it would be hard to do my tax returns myself as it is due soon. I really cant afford to shell out the £100s of pounds on an accountant and somehow pay the tax as well so any advice would be great.

I'm better and able to start back at work but with what I'm hearing about the current market I may not get a position as quickly as I'm accustomed to getting one and have to sort this out soon..

Thanks for reading and replying.

[xoggoth]

I assume you mean the accounts/corporation tax rather than tax return.

It isn't all that difficult. Lots on here advise against it due to work involved and chance of mistakes but you appear to have a lot of time to spare, about 9 months to do it and will not have earned all that much to make mistakes on, so those arguments are less relevant.

I put some stuff on my site some years ago consisting of excel sheets, accounts template and a guide. The user guide has some general guidance on accounting at the end.

http://www.bondriver.co.uk/accounts.htm

CT is simpler than then but HMRC site has guidance and a calculator. I think the statutory declarations in accounts changed recently (google FRSSE) and the rates for CT/capital allowances change every year, but otherwise it is all still applicable.
PS This domain & hosting will run out very soon so if you want it get it quick.

[amure1]

Thanks for the information I will take a look..

The letter say its the "1st annual return" (sorry should have said this in original post), is the same as what you are talking about, if not do you have information on this

Thanks

[xoggoth]

The company return form is just a simple declaration, if nothing had changed (nature of business, directors, share allocation etc) nothing to it.

[Rupert Matthews]

Hello and sorry to hear of your illness.

The annual obligations for the limited company are as follows:

- Complete Annual Return. As previously mentioned this is an administrative return of the directors and shareholders in the business. It can be completed online via logging in to the Companies House website and using the authentication code which it is likely they mention in the notice they sent you. It is simple and you do not need an accountant to do it for you.

- Statutory Accounts. There is no hypothetical reason why you can't do this yourself, however because of the statutory format it could prove difficult without the help of an accountant. If you want to do this yourself I would invest a couple of hundred pounds in a program called VT Accounts http://www.vtsoftware.co.uk/ (I don't use this myself, but it is very good)

- Company Tax Return. This is where you could need further help as although the short version CT return appears quite simple it requires submission of a full version of accounts and supporting computations.

If I were you I would do the following:

a) find a sympathetic local accountant (they do exist!) who might lower / defer collection of their fees
b) Take advantage of the HMRC Business Payment Support Service by calling 0845 302 1435 shortly before the tax falls due to negotiate payment of the liability over the next 12 months.

Hope this helps and don't hesitate to contact me for more guidance if necessary.

[amure1]

Hello and sorry to hear of your illness.

The annual obligations for the limited company are as follows:

- Complete Annual Return. As previously mentioned this is an administrative return of the directors and shareholders in the business. It can be completed online via logging in to the Companies House website and using the authentication code which it is likely they mention in the notice they sent you. It is simple and you do not need an accountant to do it for you.

- Statutory Accounts. There is no hypothetical reason why you can't do this yourself, however because of the statutory format it could prove difficult without the help of an accountant. If you want to do this yourself I would invest a couple of hundred pounds in a program called VT Accounts http://www.vtsoftware.co.uk/ (I don't use this myself, but it is very good)

- Company Tax Return. This is where you could need further help as although the short version CT return appears quite simple it requires submission of a full version of accounts and supporting computations.

If I were you I would do the following:

a) find a sympathetic local accountant (they do exist!) who might lower / defer collection of their fees
b) Take advantage of the HMRC Business Payment Support Service by calling 0845 302 1435 shortly before the tax falls due to negotiate payment of the liability over the next 12 months.

Hope this helps and don't hesitate to contact me for more guidance if necessary.

Thanks for your post this helped a lot it was the annual return so hopefully should be OK before Jan 1 comes around.