ok so bit confused about this i haven’t yet got an accountant but will be soon i paid last years tax for my self assessment, there is no way to put this as an expense on qf so looked across the forum to find that you cant because its personal tax and that made sense sort of. when i was employed i was doing 38 hours a week on £17 an hour which is 646 a week stoppages were 141 making take home pay £505 the 141 was my tax and thats that no tax to be paid on that tax but now i am self employed i paid last years tax in January and that is not an expense there for i will pay tax on that tax payment this year is that right or am i just being stupid why am i now paying tax on my tax payment appreciate any advise on this kind Regards Nicky N&N Roofing
Personal Tax and NI is NOT an expense when you are self employed.
When filing your 2022 - 2023 self assessment, you enter your profits for that basis period, as self employed, and there are separate pages to fill, if you were also employed, and paid tax, NI as PAYE.
So you won’t pay tax twice.
You’ll need your last pay slip ending April 2023, or ideally a P60 for your employed figures, when filling your assessment online.
Thanks
Eddie
thanks for your reply what i dont understand is why i am charged tax on last years tax because when i do 22-23 the money i paid in tax in January for 21-22 shows as a profit?
thank you nicky
If you paid your tax from the bank account that is in Quickfile then how are you tagging it?
When you clicked “Tag Me” you should have selected the option “something else not on this list” then entered the nominal code 3100.
That way, the tax payment will not be included in the Profit and Loss Account (rightly so as already explained by Eddie B).
If you include tax paid in your P&L Account then you would get tax relief on your tax payment which, obviously, can’t happen.
A decent accountant will be able to talk you through it. It’s a false economy to put off employing an accountant so my tip would be to make that appointment pronto.
i understand now thank you very much yes i will be seeing an accountant soon im just flat out atm its finding the time thats the problem thank you very much
I have done this now thank you i will speak it with my accountant when i go see one i have one in mind local to me it doesnt make sence to me why u pay tax on a tax payment when self employed cheers lads
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