Tax!!!!

[bcd-87]

A lot of great info here guys.. Thank you all merry x mas

 

[Wishiwasatoptiler]

i pay an estimated amount in advance so unless i have a particularly successful year, i should always be up to date with payment. You can also set up a direct debit but I've not done that.

Cheers @impish

 

[Flintstone]

Have just had my accounts back, and got a rebate which i seem to have most years. I do a fair chunk of work for builders who stop the 20%. I pay an accountant about £300, saves me the hassle and can save me that £300 easily

 

[Ste-G]

I've heard recently from a couple of sources that the government wants self employed people to submit their tax account every three months from next year. I hope this is bull sh*t, I don't think I could handle that sick to the stomach feeling four times a year.
Has anyone got any idea if this is true?

 

[On one]

Have just had my accounts back, and got a rebate which i seem to have most years. I do a fair chunk of work for builders who stop the 20%. I pay an accountant about £300, saves me the hassle and can save me that £300 easily

The 20% tax that certain contractors take off your invoice..............is there any way of finding out if that actually gets passed on to the HMRC?
I have my doubts about some of them

 

[radim]

He has to give you statement that he paid to HMRC

 

[Flintstone]

They need to give you a receipt to show they have deducted it. Some builders give me s receipt ever couple of month, others don't bother unless you chase it!
If the accountant puts it down that they have stopped it, that's fine I think unless the tax man questions it. Better to have the proof tho. If they can't show you any receipts I would be dubious!
I once got ripped off by a bloke who runs a kitchen firm, one of the fitters was employed full time by him for about 15 years, he kept changing business name all time and all sorts, dodgy as owt, when he eventually went bust and disappeared, the fitter rang and told the inland revenue that he had stopped that Job and they said, what Job! He had been stopping him 20% for about 15 years and not paid a penny to tax man, what a bastard.

 

[John Benton]

The money should be paid to a UTR (Unique Tax Reference) which is lodged as payment to you. At the end of the year when you get your bill, you just minus that amount off total payable.

I had an instance where I subbed to a bathroom showroom and they deducted 20% off for labour and lodged it with the revenue, or so I thought. When my accountant checked, nothing had been paid to my UTR. My accountant could prove by producing my invoice amount and the amount actually paid to me was less the 20% tax. Therefore, the taxman goes after the bathroom showroom and not you for the tax. They should not pursue you unless you cannot prove that the money has been deducted!!!

 

[John Benton]

They need to give you a receipt to show they have deducted it. Some builders give me s receipt ever couple of month, others don't bother unless you chase it!
If the accountant puts it down that they have stopped it, that's fine I think unless the tax man questions it. Better to have the proof tho. If they can't show you any receipts I would be dubious!
I once got ripped off by a bloke who runs a kitchen firm, one of the fitters was employed full time by him for about 15 years, he kept changing business name all time and all sorts, dodgy as owt, when he eventually went bust and disappeared, the fitter rang and told the inland revenue that he had stopped that Job and they said, what Job! He had been stopping him 20% for about 15 years and not paid a penny to tax man, what a bastard.

This is what happened to me although over a shorter period, but the owner disappeared to Spain owing the taxman £65k

 

[On one]

The thing is.... I have seen some very ropey receipts in the past.
They don't come on HMRC headed paper any more.

 

[John Benton]

The thing is.... I have seen some very ropey receipts in the past.
They don't come on HMRC headed paper any more.

I never got a receipt as I trusted the guy who was paying me, how foolish. Just let my accountant deal with it, after all that's what I pay them for

 

[Diggy]

Yep it was a money saving exercise by HMRC by stopping production of SC60's . Now all you get is a piece of cheapo printed paper with details from ur builder.

Diggy

 

[AD Ceramics]

Here's one for you lads.
A good friend of mine(soft floor layer) was using this accountant around the corner from us, he kept telling me for a few years how much trouble he was getting in with the tax and the vat, so one day he asked me to go and meet this accountant lady at her offices, she was quite p##sed off about it, she was a wast of space and I told him to get shut of her as two other friends had dumped her coz she was crap, needles to say he didn't and carried on with her for the years to come.
So anyway I was chatting with him last week when he was fitting a carpet at my house and I haven't seen him for about 10 months, he said he had this phone number ringing him for nearly eighteen months and he was pretty sure it was hmrc chasing the near fifty grand he owed them....on this particular day he was on a downer and decided to answer it. The lady said she was from hmrc and she had been after him for quite a while now, him saying I know I owe you all this money and I can't give it to you so you'll have to take me to court for it, she replied no Mr blogs(not real name) we owe you money, approximately £3.6k "how's that he said"!!!! She replied and I need to check another file Mr blogs to see if there is more. She checked and rang him back. We owe you £8k mr blogs. And I still have to check another file so will ring you back. She rang back....we owe you £15k mr blogs, at this point he shout one or two swear words thinking it was one of the lads winding him up, she reassured him she was from hmrc and said she still had more files to check
Well by the end of the next day the lady from hmrc had rang him back numerous tiles and told him they owed him near £80k....not finished yet!!!!!!.
By the end of the following week all this money that hmrc owed him had reached £165k, but she informed him because of the time it had been going on he had only three weeks to get a new accountant as the original accountant had been struck off or he would loose the money.
When it all got sorted out he got a cheque from the revenue for £38k and he had cleared his vat and tax to date, paid £35k in fines which he is fighting to get back, the original accountant hadn't handed ove £25k vat which he is now suing her for because he had to pay again out of the refund, unbelievable....
And the moral of the story is...... be careful how you choose an accountant, what this woman had been doing to get him in so much rubbish is..... When the company that he subcontracted to paid him they obviously deducted 20% tax under the cis scheme. The accountant did nothing with it and worked out his tax bill on him net payments which meant he paid tax again, all this happened for nearly ten years, to be fair he is pretty clueless when it comes to this kind of stuff and thought the accountant would deal with everything.
I'm glad he told me all this before he finished my carpet, needless to say I kept my cash in my pocket, he's a good lad didn't charge me a penny....well that's what friends are for ain't they
35 grand in fines.....just let that one sink in for a moment.

 

[White Room]

I'd be looking for the highest tree with the shortest piece of rope...couldn't handle that fine.

 

[bcd-87]

I'd be looking for the highest tree with the shortest piece of rope...couldn't handle that fine.

I'd be looking for a cricket bat and the
accountants address