loopyloopy
16-12-2011, 03:51 PM
Hiya
Just wondered when you do your accounts for tax, are you charged tax on your earnings before or after expenses?
Brain gone to sleep
Chatterbox Childcare
16-12-2011, 05:25 PM
oh goodness we wouldn't earn anything if it was before! :D
to work it out roughly I take my income less expenses, less wear and tear, less tax allowance and then I calculate 25%. this is usually too much but allows for tax and ni.
loopyloopy
18-12-2011, 06:59 PM
Phew Im glad its after :D I was just working out what I had earned since I started in July and im just under the tax threshold before expences and thought I may end up with a big tax bill in April even after my start up costs go in
Thanks for your help :)