VAT payment deadlines & small traders. A warning. (Long)

If I was running HMCE I'd be asking questions why is that happening and where is the money in the meantime. After all its one 'puter talking to another isn't it?.

In article , geoff scribeth thus

The conclusion I draw Geoff is that you really ought to have words with that bank your with or best still change to another one more business useful one like say HSBC .....

Thanks for the update.

Colin Bignell

I'm offered the option when I make an electronic payment.

In article , Robin writes

They adopted it about 6mths ago, see Andy's link..

Thinking about I think I can from the main "payments" screen ie where you can choose CHAPS and couple of international methods etc but once you have seleceted "bill payment" I don't get a FP/BACS choice. It might tell me but with wolly words, I don't trust what banks say...

And if the FP system ever falls over and payments get delayed into the next day who ends up with snotty letters, threats about non-payment, automatic penalties etc then all the wasted time sorting it out?

He's been told about that already, but he's such a d*****ad he seems to think that he's above the law. Perhaps if he's paid more for his accountant, web designer or busines advisor they would have been able to give him a clue. He even has to ask this group what to charge, FFS.

MBQ

You're right. Isn't TMH trading illegally or something. Maybe a word to Trading Standards. Over to you Dennis.

But you don't have control, insomuch as if you miss the deadline, you get a hefty fine

You already have an extension if you pay by DD

In message , tony sayer writes

Yes, I have had serious words, and even found out who my business banker is... and she is in full agreement with me

I did mine today. I'm now a Company Director! [1]

And, being as this is a DIY group, all done DIY, £18 total cost.

I spoke to an accountant today, she said there is little point in changing from a Sole Trader to a Ltd. Co. if you are earning less than £25k/yr, however, if you do the accounts/filing/tax returns yourself, the break-even level is a lot lower. Once you have it registered, there is no reason to use it, you can leave it dormant, or just use it for a certain line of business you have.

There is no reason to finish as a Sole Trader, as you can run both at the same time, so you can split earnings between the 2 to limit bad debt exposure, or tax reasons.

Interesting.

Business use letting of agricultural barns is treated as unearned income which is OK until there is some capital gains to account (land sale etc.) when my total income exceeds the threshold for the next tax band.

The other issue is that for estate duty, agricultural barns are fully relieved but not those for industrial use. I am interested in the reliefs available as a letting business.

Can you point to a help source?

regards

These 2 are the official sources:

and

Loads of other pages if you google.

In your situation, you'd need to find if it is suitable for your needs. A clued up Accountant would probably be better than 100 opinions on the web/newsgroups.

I just walked into a local one today, said "how much for half an hours advice?" and walked out 15 minutes later with all my queries answered, and they didnt want to be paid. the main pint they made was that the CH paperwork is easy, the Tax return is far harder, and needs to be submitted in a standard format so that HMRC can understand it, and not give you a penalty charge for doing it wrongly.

HTH Alan.

OK Alan. Thanks

regards

The stuff for CH and the payroll stuff (including end of year) is easy, the VAT is straightforward too (if applicable) easiest to use cash VAT accounting while you're small enough to be allowed to use it, and maybe worthwhile using one of the industry specific flat rate schemes.

I've always done my own personal tax returns (on the grounds that their adverts say how easy it is, so I take the position I shouldn't need an accountant far that) but the corporation tax return I don't think I'd fancy, it seems designed with accountants in mind.

Just make sure you get more of a clue than TMH on the law regarding business communications.

MBQ

Oh, FFS. You know nothing. How do you know he is trading under the Co.? Maybe his website is his Sole Trader site?

When you have a clue, please follow up with some facts, in the meantime, please f*ck off.

You will still need to make an annual return to companies house