Setting up -General Tax Questions

Setting up -General Tax Questions

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Hi,
I am just setting up and could do with having a few things clarified,

Here's my story...
I will not be trading until the 07/08 financial year, but for tax reasons, Im trying to enter all the expenditures I have incurred this financial year, as a lot of it has been IT & software which I can claim 50% back on if I can do it all within the same financial year of purchase!
I have spent a lot over the months, and still have all the invoices for each cost I have incurred.

Q1 Accountancy Question >>
Can I claim 50% back on the purchase of the software and computerI? These items can be offest again profit in the financial year that I intend to trade in?

Q2 Accountancy Question >>
For the book keeping, I need to credit the company before I pay for the expenses i have incurred. All of my purchase have bene made with credit card so far, which gets paid off in full each month. I have entered all the transactions as a credit card purchase and keeping records of my card statemnts. Is this adequate?
The costs have been for domain name renewals, software to design the website, and general other office equipment.
Can all this be offest against profits earned in the next financial year?

Q3 Accountancy Question >>
Can somone just let me know what I would have to pay back to the tax man each quarter/ year being a sole trader? I want to make sure I am not overspending and I have kept enough aside for the tax man.
Do I pay the tax man ALL the vat on the products I have sold, or just the difference between the vat paid for the goods, and what I charged the customer?
And do I also need to give the tax man a percentage of my overall profits or just a percantage on any drawings that I take out of the business?
And what percentage would I need to give the tax man? I am full time employed, and this is just an internet based business.
I am also looking at limiting the ammount of tax I would have to pay.

As you can see, I'm new to trading, and I still have a lot of unsurities to what I need to pay back, and what I can claim back against.

Thanks for your advice,

Craig
Craig Schulze

Replies (6)

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By User deleted
02nd Apr 2007 13:08

Agree
I agree with the previous poster, you have a lot of issues, I am not entirely sure whether you are operating through a company or as a sole trader, or whether you've explained your circumstances correctly enough to give proper advice.

Therefore, rather than giving you lots of advice which you could misinterpretate, you would be better having a face to face meeting with an accountant. If you indicate your area, I am sure someone will perhaps offer their services.


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By AnonymousUser
02nd Apr 2007 19:33

Meeting
Hi Craig, if you email me your mobile I will get my secretary to call you.

I am a Qualified Tax Accountant in the Midlands and would be happy to visit you for free to advise.

If after we have met, you wish to instruct me to act, I would be happy to do so.

Robin

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By User deleted
02nd Apr 2007 12:39

Make an appointment with an Accountant
If I were you I would make an appointment with an accountant!

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By neileg
02nd Apr 2007 13:37

Agree, as well
Most accountants will give an initial interview without any obligation.

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By AnonymousUser
02nd Apr 2007 21:48

Thanks for the replies...
Thanks for the replies, and I appreciate the offer Robin, but I live up in the Wirral. Might cost you a bit to come and visit me!
Can anyone provide any general advise to any of the above questions?
I will be a sole trader for the time being.

I have been a bit scared from visiting an accountant, as It is another expense I cant afford just now, but you have eased my mind that I would not have to pay for an initial consultation. I presume the accountant would hope to gain business from the back of this initial chat?

I will call round some accountants in my local area and see what I can find. Do the majority of accountants use Sage Line 50? This is what I will be using to manage my accounts.


Thanks again.

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Euan's picture
By Euan MacLennan
03rd Apr 2007 11:06

Sage
Most accountants use Sage only because we all have some clients who insist on using it. There are better packages.

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