Good Afternoon to all
Before I start, I need to apologize for any mistakes - english is not my first language.
In next 30 days I have to prepare Annual Return for HMRC and Companies House, but I’ve got some problem, because I don’t know how to put records in Balance sheet.
I’ve already put general sales and purchases, but now I need to put :
Director’ salaries ( 2 directors x 890,00 GBP each)/month
PAYE Tax deducted from director’ salaries (Total : 2,4 GBP)/month
Employee’s NIc from director’ salaries (Total : 52,32 GBP) / month
Salaries paid to employee ( 1 x 660,00 GBP)
I need to know which Chart of Nominal Accounts I need to use to report it correctly.
Second quiestion is, If I pay salaries for December 2015 on 5 Jan 2016, I should deduct costs in December 2015 or in month when salaries has been paid ?
Firstly, I should state - I am not an accountant. I always recommend that you run things such as this past your accountant just to be sure that it’s correct.
Secondly, I’ll try and go through your post an answer your questions.
You should enter the payroll journals on the date you submitted the RTI (Real Time Information) to HMRC.
In terms of entering the actual payment, the salaries, PAYE etc., there are quite a few topics on this already with examples - I’d recommend doing a quick search on the forums. But, this topic may be of some help to you.
I hope that helps!
[Edit]
I should add that in your case, if you submitted the RTI in December, you would log the journal then, but you can log the payment on a different date through your bank account (tag it as Salaries).
