I have a code in 3050 for drawings which I make a payment from my bank statement straight to,this account and when I pay HMRC 3052 I use this code at year end should the drawings & HMRC be cleared down and if so where to
Clearing down nominals happen when you run the year end tool.
Thank you even though this is in the capital and reserves nominal codes
If they are nominals you created then you may need to manually alter the year end journal to include them when you run the year end tool.
Drawings would reduce the retained profit carried forward. So it would be a case of altering that to match.
Unsure of what type of tax the hmrc payments are as you didn’t say but again I’d assume it reduces retain profit.
HMRC payments are self assessment due July and January then I also pay HMRC money on account to reduce the monies due
Self assessment isn’t a business expense so just treat those payments to HMRC the same as you do drawings (which is what they are - you personally need to pay your SA bill, and you’re drawing money out of the business to fund it).
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Thank you for the reply
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