AIA and paying next years tax this year??

[mrs tumble]

So i bought a double buggy, solely for childminding use £300 do i put this in expences or AIA??

I also read that we now have to pay a percentage of the next years tax by jan the 31st is this right? or have i got t

[Rubybubbles]

if it is surely for childminding then is an expense

and yes to a % of next years, (althought I thought it was if you had over £1000 tax to pay?)

[mrs tumble]

thank you so much

[MrAnchovy]

I would put the buggy in Annual Investment Allowance because it is an asset you are still going to be using next year. Expenses is for things that are used up within the year.

When you fill in your tax return online, if your combined Tax and NI for 2010/11 is over £1,000 it will ask you to pay 50% of the same amount on account for 2011/12 on 31 January, and again on 31 July. If your circumstances have changed in 2011/12 so that you will have less tax to pay this year you can apply to reduce the payment on account.

[mrs tumble]

thank u Mr anchovy, so do i put all my toys through AIA as there are all going to be used next year to? Or is it just for the large toys/items??

[MrAnchovy]

If you bought £1,000 of toys in one go then that needs to go as AIA. But purchase of a few items for £50 from time to time is an expense. There is no official limit as to where it becomes capital expenditure: below £100 is generally OK, above £250 is almost certainly not.