help just starting my first attempt at doing tax

[sophiestars]

I've put it off as it's too scary but can't put it off forever and now have too many questions...

You know the percentages of council tax and heating etc?, well say one day of the week i only have 1 child and they don't come because of illness but I am still paid, do I count this as working hours as I am still being paid or is it literally only the hours that I have children physically attending?

Also.... I started minding in March so I have 1 month in last years accounts but didn't earn alot and spent loads more setting up....how do I deal with that? I have earnt just under £1000 from 2008-2009 also from my other job that I was bank staff for. I'm not sure how i add this on. Do I take my expenses off the whole lot I have earnt in 2008-2009 or just my childminding. I have heard about 'carrying it over as a loss' but not sure exactly how to do that.

I have just received my tax credits renewal form and obviously i have to let them know what i will be earning for 2009-2010 but this is not regular as all my children are part-time, some term time only, one Mum is freelance so just works when she is needed. I can do an average but over how long - a year will be innaccurate because I have another starting in about Jan but no idea what hours yet. Could I do an average over 6 months or even 3 months? What do you all do?


HEEEEEEEEEEEEELP!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!!!!!!!!!!!!!!!!!!:eek:

[Chatterbox Childcare]

I've put it off as it's too scary but can't put it off forever and now have too many questions...

You know the percentages of council tax and heating etc?, well say one day of the week i only have 1 child and they don't come because of illness but I am still paid, do I count this as working hours as I am still being paid or is it literally only the hours that I have children physically attending?

I would count it as worked and do the percentages on the day. Your house still needed to be heated before the child came and you also are working on bookwork etc..

Also.... I started minding in March so I have 1 month in last years accounts but didn't earn alot and spent loads more setting up....how do I deal with that? I have earnt just under £1000 from 2008-2009 also from my other job that I was bank staff for. I'm not sure how i add this on. Do I take my expenses off the whole lot I have earnt in 2008-2009 or just my childminding. I have heard about 'carrying it over as a loss' but not sure exactly how to do that.

You sound like you haven't taken your expenses off. £1000 income less all setting up costs, expenses for March, mileage, food etc will give you a final figure which I imagine will be a loss. When you come to do your fixtures next year you will have a profit figure (hopefully) and you take the loss off before your tax is calcualted. i.e. £5000 profit less loss from 08/09 of £1000 = £4000 profit to declare.

I have just received my tax credits renewal form and obviously i have to let them know what i will be earning for 2009-2010 but this is not regular as all my children are part-time, some term time only, one Mum is freelance so just works when she is needed. I can do an average but over how long - a year will be innaccurate because I have another starting in about Jan but no idea what hours yet. Could I do an average over 6 months or even 3 months? What do you all do?

I would ring the renewal department and tell them what your figures are. i.e. the loss from this year plus any other work payment you received. Explain to them what you are working and they will help you to estimate it.


HEEEEEEEEEEEEELP!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!!! !!!!!!!!!!!!!!!!!!!!!!!!:eek:

Don't panic do a bit at a time and work your way through the expenses. The more you can claim this year to carry forward as a loss the better.

[sophiestars]

Thanks for your reply,

So from what you are saying, even though the £1000 is from another job, not childminding, I just put that together with what I earned in March from childminding and then take my expenses off the total?

I will have made a loss from childminding alone (only earned about £200 in March from childminding) but haven't spent more than £1000 on expenses so won't be at a loss if I count my total income from both iyswim?

Do I have to keep my other job separate or are they all counted in together towards the tax?

I still won't be paying tax for 2008-2009 I don't think so it shouldn't be too much of a problem, I'm just a bit confused about carrying things over to this year.

So say I have earned about £1200 last year, and my expenses are about £300 I have made £900 in total so it's not a loss and doesn't carry over

OR

Do I say I earned £200 childminding and spent £300 so i carry over a £100 loss and treat the £1000 separately?

Oh why does it have to be so confusing? lol

[sarah707]

You will have to fill in 2 different parts of the tax return.

1 part for earnings from an employer... this will show earnings and tax paid.

1 part for earnings from being self employed - this part will show your childminding income - expenses = total amount.

Hth :D

[Chatterbox Childcare]

Thanks for your reply,

So from what you are saying, even though the £1000 is from another job, not childminding, I just put that together with what I earned in March from childminding and then take my expenses off the total?

Your part time job will have it owns form to complete called "employment"

I will have made a loss from childminding alone (only earned about £200 in March from childminding) but haven't spent more than £1000 on expenses so won't be at a loss if I count my total income from both iyswim?

Do I have to keep my other job separate or are they all counted in together towards the tax?

I still won't be paying tax for 2008-2009 I don't think so it shouldn't be too much of a problem, I'm just a bit confused about carrying things over to this year.

You may not pay tax for 2008/09 but the more loss you can make in this year the more you can reduce your tax for 09/10

So say I have earned about £1200 last year, and my expenses are about £300 I have made £900 in total so it's not a loss and doesn't carry over

This would be right but you must have paid out more than you earned if you only have £200 coming in.

OR

Do I say I earned £200 childminding and spent £300 so i carry over a £100 loss and treat the £1000 separately?

Yes!

Oh why does it have to be so confusing? lol

Once you get online you will see it is easy and you only need to enter 2 figures for your childminding and 2 for your employment

Hope this makes sense now but if not, have a go at the tax return and I am sure you will find it easy, if not pm me

[sophiestars]

Thank you so much for your help ladies - I have just looked at the tax return form again and it has become a bit clearer now.

I think I'll do it online as it sounds easier. I won't be doing many hours at the other job now that my childminding has taken off, just very infrequent Saturday mornings when they are stuck (it's a Creche) so in the future it won't be so complicated hopefully!

xx