Reports for Self-Assessments (Sole Trader)

Hi folks, I have scoured the forums looking for a simple answer for this… For my self-assessment as a sole trader using cash basis the two main figures I’m interested in are:

  • Sales + taxable income per tax year
  • Allowable expenses per tax year

I am not sure if I am missing something completely obvious but I can’t seem to find a report which will give me these two figures easily. And I’ve almost torn my hair out trying to create a simple report which will calculate the allowable expenses (i.e. all expenses minus disallowed codes).

The tax summary report doesn’t show me the expenses value (but does show the sales figures). And the P+L has expenses in two sections with no option to discount disallowed expenses - which I know is normally how the P+L works but this means I have to manually add the expenses subtotals and identify then subtract the values of disallowed codes.

Please tell me there is a simpler way! Or if anyone has the formula for how to calculate expenses minus disallowed expenses in the report creator then I’d be grateful. That creator makes zero sense to me (it took me ages to realise it was starting the current net profit value and no matter what I do I can’t get it to show me just the expenses - disallowed expenses value!)

Thanks in advance!

Assuming you are running a p&l account, then a glance at that under nominal 4000 shows general sales. Then go reports==> tax summary to display your taxable income in current tax year. HMRC has good sections of help on allowable and disallowed expenses.

Thanks for the response :slight_smile: not sure if you’ve misread my question… self-assessment requires me to put in the value of all allowable expenses but neither the P+L or tax summary actually give me this value without manually calculating from the P+L.

I know most sole traders are in the exact same boat so hoping someone has found an easier workaround for this than manually identifying disallowed expenses and then using a calculator. I’m a bit surprised to see this hasn’t been raised as an issue more frequently given how many sole-traders on cash basis there are! Unless I’ve missed something obvious? But I’m guessing a custom report is the only option… However, the report creator is, quite frankly, a bloody ballache to get working. If anyone has the right formula or instructions on how to create a simple report that can total up the expenses minus disallowed expenses then I’d be so grateful!

Hi @rrowell

There isn’t a way to flag an invoice as “disallowable” within QuickFile, so it’s usually best to either leave it out or tag it as drawings/director’s loan (depending on if you’re a sole trader or limited company).

You can use the Tax Report which allows you to calculate this based on the nominal codes (which can be edited). Please let us know if you need any help with this or any other reporting feature within QuickFile.

Hi Matthew,

Thanks for your response but the Tax Summary report isn’t actually helpful for identifying the two things we need for a SA return.

It doesn’t show:

  • Sales + taxable income per tax year
  • Allowable expenses per tax year

It only shows the net profit and the value of the disallowed expenses (i.e. add backs). Neither of which are needed for the actual self assessment return as it calculates the net profit inside the form.

In terms of workaround - I can get the sales value from the P+L but the value of allowable expenses requires manual calculation (i.e. adding cost of sales + expenses - disallowed codes, for example, donations) which leaves room for human error. Is there a formula for a custom report to only show the value of total expenses + cost of sales minus specific disallowed codes?

For example: 0010:3999 + 5000:9999 - (7403 + 8603 + 7603) - this formula is incorrect but hopefully you get the idea?

(And just to note that in the Tax Summary report you are able to add disallowed codes there as add backs so there shouldn’t be a need to leave out expenses or tag it to the drawings account - these aren’t personal expenses. They are business expenses that can’t be used to off-set profits in a tax return. But it’s still important we can see them as an expense for general oversight of CODB.)

Custom reports treat credit values as positive and debit values as negative, therefore your total expenses would be

-1 * (5000:9999)

disallowable expenses (as a negative number) just add up the codes you want to disallow, e.g.

7403 + 8603 + 7603 + 8000:8099

(80xx is the P&L depreciation range in my account), and to get expenses less disallowed add these two together

7403 + 8603 + 7603 + (8000:8099) - (5000:9999)

Codes below 4000 aren’t expenses, they’re balance sheet codes (assets, liabilities and capital).

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