This year or next...

[Robot]

Ok, so I've got £4000 of invoices that I could write up now or could wait until Oct 1st.

Is there any advantage to doing either. Is the tax for small businesses next year meant to be higher so I would be good to pull as much invoicing into this year as possible?

Doesn't matter if you write them up on or after 1 Oct 07, an accountant should include this work as work in progress in the accounts to 30 September 07.

[TheFaQQer]

It's only a 1% difference on £4k though = £40, so not worth worrying too much about it.

As a friend of mine was saying the other day, when we were talking about getting a better phone deal, and I mocked him for worrying about £1 a month

How do you think I got to be a millionaire without thinking about each pound?

And I know that he's got it in cash somewhere.

[xoggoth]

Second minstrel on that.

PS 40 quid is 40 quid. I would keep 40p from the taxman if I could, BASTARDS!

[Sockpuppet]

Thanks for the responses. Couldn't think if it was shooting upto 30% or something daft.

It's only a 1% difference on £4k though = £40, so not worth worrying too much about it.

You have no idea how tight I am.


oooo...er misses.

[minstrel]

Make no difference in October, April 1st is the tax year end/start.

It does make a difference as the Corporation Tax rate is charged proportionately where the company year crosses the tax year.

Definitely better to put the invoices through this company year rather than wait till Oct 1st.

Assuming your company year end is 30th September you will pay around 19.5% CT (average of 19% rate for last tax year and 20% for this year) on the £4k if you put it through this year and 20.5% CT (average of 20% for this year and 21% for next year) if you wait til Oct 1st.

It's only a 1% difference on £4k though = £40, so not worth worrying too much about it.

[VectraMan]

I'd read the thread on the agency going bust and ask yourself why you'd want to wait.

CT is 20% and 21% next year. By my estimation, 21% is more than 20%.

[scooterscot]

I thought a company tax did not follow the personal tax year, my company year end is beginning of Oct also.

[DaveB]

Ok, so I've got £4000 of invoices that I could write up now or could wait until Oct 1st.

Is there any advantage to doing either. Is the tax for small businesses next year meant to be higher so I would be good to pull as much invoicing into this year as possible?

Make no difference in October, April 1st is the tax year end/start.

[Sockpuppet]

Ok, so I've got £4000 of invoices that I could write up now or could wait until Oct 1st.

Is there any advantage to doing either. Is the tax for small businesses next year meant to be higher so I would be good to pull as much invoicing into this year as possible?