I missed out £5k from my SA, what should i do?

[css_jay99]

Hi,

My Company Financial year runs jan - Dec

I have just submitted my Self Assesment online(i.e. 2008-09) and then realised that I missed off about £5000 which took in January09. At that point I had an oustanding £4000 Directors Loan from previous financial Year which was later paid in Jul09.

What canI do to resolve the problem?

Cheers
css_jay99

[cojak]

Have a word with your accountant (that's what you pay them for after all).

Or you could just listen to us...

(WARNAA etc, etc...)

[Darren@UptonAccountants]

Return

You could resubmit online as an amended return. Deadline for online submissions is still January

[css_jay99]

You could resubmit online as an amended return. Deadline for online submissions is still January

cheers,

ok Ive recalculated and it now says I need to make an 2nd installment payment by 31st Jul!. Do i need to make that 2nd payment. why the heck do i have to pay tax on something i have not even taken yet!


css_jay99

[Moscow Mule]

cheers,

ok Ive recalculated and it now says I need to make an 2nd installment payment by 31st Jul!. Do i need to make that 2nd payment. why the heck do i have to pay tax on something i have not even taken yet!


css_jay99

Payment on account.

[css_jay99]

Payment on account.

do i need to pay it!?

I've just checked on the hmrc web and it looks like I can make a claim to reduce the amount. assuming i asked for zero payment on account, what happens next year if there needs to be a payment on account

[Sally BFCA]

do i need to pay it!?

I've just checked on the hmrc web and it looks like I can make a claim to reduce the amount. assuming i asked for zero payment on account, what happens next year if there needs to be a payment on account

If you have received a tax bill with payments on account and you think that your income for the next year will be therefore less tax being owed, you can apply to have the payments on account reduced. If you use on-line filing you can make an application on the Government Gateway. If you do not then you need to complete from SA303 and send to HMRC. If it is found that later you owed more tax than you have paid on account, interest will be chargeable and penalties may be applied.



Penalties and Interest

Any balancing payments for the previous year that have not been paid by 31st January will be charged a daily interest of 3.5% (applicable January 2009) plus an automatic 5% surcharge. If this still has not been paid by the second payment date of 31st July a further 5% surcharge will be added.

Where a self-assessment return is filed after the deadline an automatic surcharge will be charged of £100. If you leave filing your return until 31st January 2010 and should have paid tax by that date you will get an automatic 5% surcharge and daily interest of 3.5%.

[css_jay99]

If it is found that later you owed more tax than you have paid on account, interest will be chargeable and penalties may be applied.

I'm not so clear about this part above.

Extra tax for me to pay (for 2008/09) by 31st Jan is £2212. It also shows that i need to make a 2nd payment of £1106 by 31stJul (Thiefs!)

Tax owed for 08/09 is £2212 ,so how the heck can i know have an idea of what approximate value of my tax will be for FY09/10?. how is a penalty justified on income not earned

css_jay99

[Sally BFCA]

Tax owed for 08/09 is £2212 ,so how the heck can i know have an idea of what approximate value of my tax will be for FY09/10?. how is a penalty justified on income not earned

Basically, if in the year 2009/10 your income will be less then 2008/09 then you know that the tax you are paying on account will be too much.

To calculate your tax take your gross salary less £6475 personal allowance 2009/10 x 20% tax and then if you have dividend income that took (will take) you over £37,400, an additional 22.5% tax is chargeable on anything above £37,400.

HMRC have the power to issue penalties, it does not necessarily mean that they will. However interest charges will apply.
I think that they use the power where a tax bill has deliberately been reduced when it shouldn't have been

[css_jay99]

Basically, if in the year 2009/10 your income will be less then 2008/09 then you know that the tax you are paying on account will be too much.

To calculate your tax take your gross salary less £6475 personal allowance 2009/10 x 20% tax and then if you have dividend income that took (will take) you over £37,400, an additional 22.5% tax is chargeable on anything above £37,400.

HMRC have the power to issue penalties, it does not necessarily mean that they will. However interest charges will apply.
I think that they use the power where a tax bill has deliberately been reduced when it shouldn't have been

now understood, looks like i have to pay that extra in july. As if they dont screw us enough!


cheers