Start up costs etc.

[uf353432]

I haven't declared as self employed yet, but am incurring costs in setting up my childminding setting. Mrs Ofsted wanted x y and z doing which has cost money.

Can I put the receipts through at the point of becoming self employed - so cost incurred in Mar and self employed in June. In my June expenses can I put them through in that month?

I don't want to register as self employed until after April to be honest, but would like these expenses to be put through the books.

Can someone clarify?

thanks debs

[Chatterbox Childcare]

I haven't declared as self employed yet, but am incurring costs in setting up my childminding setting. Mrs Ofsted wanted x y and z doing which has cost money.

Can I put the receipts through at the point of becoming self employed - so cost incurred in Mar and self employed in June. In my June expenses can I put them through in that month?

I don't want to register as self employed until after April to be honest, but would like these expenses to be put through the books.

Can someone clarify?

thanks debs

Yes put the costs through when you register. If you registered now you would put them in your paperwork and carry then forward as a loss, so it doesn't matter wehn it is done.

[uf353432]

great thanks Debbie

[Polka Dots]

I'd been wondering how this worked also, thank you Debs and Debbie. :)

[Pauline]

Don't forget that you must register as self-employed within 3 months of your business starting, or you could incur a £100 penalty. :(

[uf353432]

Pauline - my business hasn't actually started yet though, I count it starting as my registration coming through. But I am having to buy things in advance of that - which I will want to put through the books. So are you saying you can't? Its likely that I will be registering as self employed in the next month or 2 so in terms of when items were purchased they would have been in the 3 months prior to registration........ Heylp!

[Pauline]

Pauline - my business hasn't actually started yet though, I count it starting as my registration coming through. But I am having to buy things in advance of that - which I will want to put through the books. So are you saying you can't? Its likely that I will be registering as self employed in the next month or 2 so in terms of when items were purchased they would have been in the 3 months prior to registration........ Heylp!

If I were you I would register now, it doesn't cost anything and that way you can start your accounts from when you started buying things, you will show a loss to start with but that is acceptable.

Also, if you register now you will get some good booklets and help on starting up, which might prove useful.

Having said that I am no expert so I would give the Inland Revenue a call and ask their advice.

[deeb66]

I agree with Pauline....you should do it now.

I was speaking to an accountant the other day as I needed some advice (as now got 2 businesses on the go!) and he told me that you can only officially claim start up costs etc in the current tax year that the money was spent.

So if you don't register for this tax year then officially you are not able to claim for the money that you have already spent.

Have to say that I hadn't heard that before so was unsure of what he had told me but he is definately more qualified in that area than I am so took him at his word :)

[tulip0803]

When I had re-registered with CSSIW last year I rang the HMRC newly employed tax help line on 0845 915 4515 as it was spreading into 2 tax years and they told me it didn't matter, to re-register as self emoployed when I first started earning not at point of registration and to put all the start-up expences on one line in the account book marked "start-up Expences" and to keep all those receipts togther. Check on the help-line if you are unsure.

[LNena]

I have been registered since January I call HR at the start of march and they said to me that I should call to get registered as self employed after having my first mindees and then add the expenses from setting up the business