Not registered yet but have expenses, confused?

[crazyhazy]

I'm not yet registered, have been told I should be by the end of March. But obviously I have expenses already, eg new smoke alarm, scma membership etc

I was under the impression I could add all these things together and put them through as start up expenses (obviously providing receipts) when I actually start childminding which will be in the next tax year. Is this the case? Or am I going to have to declare myself as self employed just now and submit the expenses as a loss and then start afresh next tax year? Am all confused!

Thanks

[Zoomie]

I'm not yet registered, have been told I should be by the end of March. But obviously I have expenses already, eg new smoke alarm, scma membership etc

I was under the impression I could add all these things together and put them through as start up expenses (obviously providing receipts) when I actually start childminding which will be in the next tax year. Is this the case? Or am I going to have to declare myself as self employed just now and submit the expenses as a loss and then start afresh next tax year? Am all confused!

Thanks

Yes this is exactly what you need to do.
Register now as SE. When tax year ends, declare your loss.
For next year, do all your expenses / income from April and declare your profit (hopefully).

BUT, there is a piece right at the end of your declaration, where you will be able to carry from this years loss onto next years profit, and thus pay less tax :D

[funfunfun]

Yes this is exactly what you need to do.
Register now as SE. When tax year ends, declare your loss.
For next year, do all your expenses / income from April and declare your profit (hopefully).

BUT, there is a piece right at the end of your declaration, where you will be able to carry from this years loss onto next years profit, and thus pay less tax :D


Is this right

As i havnt registered as se yet as i am employed at the mo ???

can i not just save everything and declare it as a loss after april when i actually start or is it compulsary that i do this before april this year??

[crazyhazy]

Is this right

As i havnt registered as se yet as i am employed at the mo ???

can i not just save everything and declare it as a loss after april when i actually start or is it compulsary that i do this before april this year??

Thanks, this is puzzling me too, I was made redundant and finished yesterday and had been told I could sign on at the job centre in between now and getting registered so if I register as self employed I'm guessing I can;t do that? Does anyone know.

[naomiesian]

If you are unsure just give the IR a ring and ask, I was in the same boat, Im still employed at the moment untill 31 march and didn`t want to start CM untill the new tax year begins but was told to phone the IR and register as Se now and that way I can carry my start up costs over to the next tax year instead of losing them all! Have now decided to start CM from the 8th march so will be ringing them then to register.
Give the self-employed helpline a ring on 08459 154515 open 7 days a week - 7.00 to 20.00.
Good luck xx

[crazyhazy]

If you are unsure just give the IR a ring and ask, I was in the same boat, Im still employed at the moment untill 31 march and didn`t want to start CM untill the new tax year begins but was told to phone the IR and register as Se now and that way I can carry my start up costs over to the next tax year instead of losing them all! Have now decided to start CM from the 8th march so will be ringing them then to register.
Give the self-employed helpline a ring on 08459 154515 open 7 days a week - 7.00 to 20.00.
Good luck xx

Thanks for the number will give them a call on monday x

[Zoomie]

you aren't suppose to carry expenses from one year to the next.

all businesses incur expenses before they start trading. rentals, equipment purchases etc, but just because you aren't earning yet, doesn't mean you aren't being self employed.

Check it with IR, as they are the be-all-and-end-all :D

[funfunfun]

you aren't suppose to carry expenses from one year to the next.

all businesses incur expenses before they start trading. rentals, equipment purchases etc, but just because you aren't earning yet, doesn't mean you aren't being self employed.

Check it with IR, as they are the be-all-and-end-all :D

Thankyou on the blower now :)

[naomiesian]

you aren't suppose to carry expenses from one year to the next.

all businesses incur expenses before they start trading. rentals, equipment purchases etc, but just because you aren't earning yet, doesn't mean you aren't being self employed.

Check it with IR, as they are the be-all-and-end-all :D

Maybe I didn`t word it right :o , I meant `If you have expenses for setting up this year, please advise the IR that you are self employed NOW and then put the costs through as a loss, otherwise you will lose them` This was the advice I received from debbie under my thread Help in this section. Good luck with everything, must say this being SE completely baffles me! Sure it will all become clear when we have been doing our accounts for a couple of years and very reassuring to know that if we ever get stuck, then the lovely people on this forum are always there with helpful advice and reassurance..
:jump for joy: xx

[funfunfun]

I rang them and they said i shoud NOT register until i take on my 1st paid child

However i said i will have exspenses for this teax year and wont actually be working until next tax year ....she said ring your local tax office

[skytvaddict]

Blimey - I am confused too. I am currently signing on as unemployed and was waiting until I get my first child to register as SE. I too have expenses which I thought would be "start up costs" but have been buying things since December (have receipts) - I hadn't even thought of trying to get them in this tax year :panic: - will watch for any more replies and to see what your local tax office say

[naomiesian]

I rang them and they said i shoud NOT register until i take on my 1st paid child

However i said i will have exspenses for this teax year and wont actually be working until next tax year ....she said ring your local tax office

Please let us know what they say as I am getting so confused now.. (doesn`t take much) :laughing: xx

[Allie]

I'm sure if you put all the start up costs in the expence book when you start that will be fine, just keep all the receipts.


Allie

[funfunfun]

I will let you know ......gotta ring them tmoz as they arnt open today !!!

I asked about carrying the costs over and they said you shouldnt really do this as differant tax years

had the feeling she told me to ring local tax as she wanst very sure herself (hmmmm)

[funfunfun]

Update

Ok so i rang my local tax office ......who said i Should not register as self employed yet .............i have to register when i am actually ready to work and apparently i can just put down all my cost for next yax year even though i have incurred in this tax year ................?????

I have to say ............im sure she didnt know what i was talking about it was like i was speaking a deifferant language !!!! confused now even more

I was under the impression we could no carry over costs into the next financial yer ???

[naomiesian]

Thanks for the update hun, This is pretty much the same as I was told by my friend who used to be a CM, she advised me if I started CM in April just to list all my start up costs that I had incurred in the tax year before on April`s page in my accounts book, but then I was advised different on here so have decided to start CM the 8th March instead! If I get chance later I might just ring myself and see if I'm told the same as you, will post update. xxx

[Chatterbox Childcare]

Update

Ok so i rang my local tax office ......who said i Should not register as self employed yet .............i have to register when i am actually ready to work and apparently i can just put down all my cost for next yax year even though i have incurred in this tax year ................?????

I have to say ............im sure she didnt know what i was talking about it was like i was speaking a deifferant language !!!! confused now even more

I was under the impression we could no carry over costs into the next financial yer ???

I was told the same but who knows what is right. If you are going to carry the costs over make sure you have the date and name of the person who advised you as back up just in case it backfires in the future.