We have just started registering companies for corporation tax online rather than manually completing form CT41G.
However there is no mechanism to enter the directors details. So I've tried to register the directors for self assessment - first question ask me to tick a box to confirm whether 1) the client is "self employed/ sole trader/ sole proprietor" or 2)"partnership (self empployed)".
I'm using the agent on-line services. Where do I go from here?
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If it doesn't ask . . .
, , , for directors' details, they obviously aren't concerned about receiving them.
I'd just get on with the next task on the list. :-)
The way to get directors set up online is to go down the Request Authorisation route within the Agent screens.
Online CT41G
I wasnt aware that that you could do this as an agent. Last time I tried a couple of weeks ago you could only use the online CT41G by signing the company up for online services (as if it was the company doing it themselves).
If the Director has no UTR you will not be able to authorise them online.
We still fill out a manual CT41G and that tells HMRC to register the Director for SA, when we get the UTR we authorise online.
you should be able to use NI No
You can use an NI number to authorise, but unless you send in a CT41G they wont get setup for SA and issued with a UTR (in my experience)
Directors and self assessment
This topic comes up regularly.
Under the law, there is no obligation for a director to register for self assessment just by virtue of being a director. If they have untaxed income, such as higher rate liability, yes, but that's the case for everybody and being a director has nothing to do with it.
The Revenue website suggesting that a director is in a category who "needs" to register for self asssement has no basis is law.
Agree with Cloudcounter
This topic comes up regularly.
Under the law, there is no obligation for a director to register for self assessment just by virtue of being a director. If they have untaxed income, such as higher rate liability, yes, but that's the case for everybody and being a director has nothing to do with it.
The Revenue website suggesting that a director is in a category who "needs" to register for self asssement has no basis is law.
To reiterate this point, last year I spent a lot up time chasing up on SA1 forms for 2 directors for 2 new limited companies. HMRC dutifully issued the tax returns, however, on receipt of the returns, they then issued a letter saying based on their returns they will no longer ask them to complete a tax return. It left my clients wondering why I had registered them at all given they had to pay my fee.
I'm ashamed to admit but I registered them because that is what I've done in Practice. Now I enquire about their circumstances before deciding if I need to get them registered or not.
What you do
To register the director for SA, you will need to complete an SA1 form and tick the relevant box. You can then send in a 64-8 with the directors details and NINO again ticking the box UTR number not yet issued or similar.
back to the CT41G
As previously stated, if you fill in the CT41G as required by HMRC, the Director will get up for SA anyway. Therefore no need for the SA1.
If they get taken out of SA at a later date so be it, at least you have fullfilled your obligations.
With regards to charging a fee for a Directors SA return, Personally, I do not charge extra for this as it is usually a five minute job with Employment page and divis.
Not true in my experience. Filling out CT41G ( which no longer exists) does not all of the time (30% only my estimate) bring an SA return.