Reply to: Director with no salary - self assessment options

[mradam]

Thanks all - I have left the fields blank as suggested rather than put 0 and it has worked!

I have also been able to speak to my accountant who has told me not to put my expenses as I have received no reimbursement for expenses that need to be declared on a PIID. He told me to leave them blank as well.

Thank you again

[TheCyclingProgrammer]

Your previous employer probably had a dispensation for business travel and subsistence which is why it wouldn't have been there.

[mradam]

Thanks - that's great. It's surprising though a my P11D from my old company only includes my private medical care and doesn't include any of the substinance I expensed when working there.

So for now it looks like on my self assessment I will include the consultancy as an employment, leave the pay and tips BLANK (not zero!) and also say NO to having any benefits or expenses. I will check with my accountant on his return of course.

[TheCyclingProgrammer]

Oh wow if that turns out to be the cause of the error message I won't half feel a bit of a pillock.

I'm on,y telling you because I just did the same thing myself and remembered your post from earlier.

[TheCyclingProgrammer]

Thanks Contreras.

Expenses have purely been mileage and travel to and from work (when not my standard office) and lunch and occasional coffee when traveling to sites away from normal working location.

I've also had to expense an item bought FOR my client's business (a router) which was £40.

Ignore the router, I presume you invoiced the client for this. This wouldn't appear on your P11D anyway.

The mileage is exempt assuming it's at the usual rates.

Your other travel and subsistence would usually be reported on your P11D. You would need to enter the expense payments received on your self assessment and claim the same amount as business expenses.

As you presumably don't have a P11D, I would agree with Contreras on this and not worry about them. It makes no difference to the tax and I can't see HMRC querying it, especially as from this tax year onwards employers can effectively self assess what should appear on the P11D and no longer need to include stuff that would be tax deductible anyway.

[mradam]

Oh wow if that turns out to be the cause of the error message I won't half feel a bit of a pillock.

[TheCyclingProgrammer]

That thread is really helpful thanks, however I'm at a sticking point as I have received expenses but not salary / benefits.

At the end of the day it is impossible for me to fill out the employment accurately as it won't let me do £0 for salary and tips. And from what I can tell if I have received expenses it counts as an employment.

Thanks for your advice anyway.

Salary and tips box should be blank. You can't enter zero. The error message will tell you this.

[mradam]

Thanks Contreras.

Expenses have purely been mileage and travel to and from work (when not my standard office) and lunch and occasional coffee when traveling to sites away from normal working location.

I've also had to expense an item bought FOR my client's business (a router) which was £40.

[Contreras]

That thread is really helpful thanks, however I'm at a sticking point as I have received expenses but not salary / benefits.

At the end of the day it is impossible for me to fill out the employment accurately as it won't let me do £0 for salary and tips. And from what I can tell if I have received expenses it counts as an employment.

Thanks for your advice anyway.

What expenses exactly? Probably there should be a P11D, but you have no employers reference number. If the expenses are without doubt wholly and necessary for business and no tax is due then I would conveniently overlook them, TBH. HRMC have bigger fish to worry about.

Or you could complete a paper assessment. Downside to this would be no instant calculation as with the online version prior to submission. So worth getting the accountant to look it over before submission if you do this.

Btw, be aware that the expense amount must be entered twice in order to cancel out. Quite pointless really.

[mradam]

This should be answered in the guidance notes - SA150.

Have a read of this other thread starting here.

That thread is really helpful thanks, however I'm at a sticking point as I have received expenses but not salary / benefits.

At the end of the day it is impossible for me to fill out the employment accurately as it won't let me do £0 for salary and tips. And from what I can tell if I have received expenses it counts as an employment.

Thanks for your advice anyway.

[mradam]

Your accountant went on holiday over the new tax year??? Wow.

Tell me about it! Easter holidays mind and he has 3 younguns

[Contreras]

This should be answered in the guidance notes - SA150.

Have a read of this other thread starting here.

[northernladuk]

Your accountant went on holiday over the new tax year??? Wow.

[mradam]

I've dropped an email to my accountant but he's on holiday until next Weds.

I know there's no urgency but as mentioned I am pretty sure I am owed over £2000 and I could really do with the cash !!

I will be seeking professional guidance either way, but what is "normal" behaviour on a self assessment for a director who takes zero salary or payment other than dividend?

[northernladuk]

I didn't think they did for a part year so he might have to pay for the first one.. But still looks like it would be money well spent.