Aghhh had my tax bill

**Chimps Childminding** · 13-08-2008, 04:42 PM

Ok I thought I might have a bill this year, had even budgeted (in my head if not in my bank) for it. It arrived £816.00 which is bad enough - but then you find you have also got to pay half of that again on account for next year and that also has to be paid by 31st January 2009, with a furtner £408 due in July!!!!!!

So I am cancelling Christmas this year and spending the money on the tax man!!!!!!!!!!! all £1200 of it!!!!!.

Why can't they wait until say april for some of next years? Have phoned and explained that can't really be sure from one month to the next what I will be earning, but apparently it goes on this years figures.

**Wiggly** · 13-08-2008, 04:47 PM

Ouch Carolyn - that sure is a fee. HAven't been brave enough to do mine yet.

Hugs
Wiggly
x

**littletreasures** · 13-08-2008, 04:51 PM

That happened to me the year before last and then last year found out that on their figures they owe me £800!!! I let them keep hold of it to go towards this years, but havent done it yet.

It's a horrible way of getting our money.

**miffy** · 13-08-2008, 04:51 PM

That's a blow - so they assume because you owe tax this year you will do next year too?

What happened to being innocent until proven guilty? What happens to all the interest on this money you have to deposit with them?

Miffy xx

**sarah707** · 13-08-2008, 04:57 PM

Originally Posted by miffy

What happens to all the interest on this money you have to deposit with them?

Miffy xx

The government needs it to balance its budgets

**Chimps Childminding** · 13-08-2008, 04:59 PM

Originally Posted by miffy

That's a blow - so they assume because you owe tax this year you will do next year too?

What happened to being innocent until proven guilty? What happens to all the interest on this money you have to deposit with them?

Miffy xx

I guess it makes the tax man richer!!!!!!

Like I said I expected to have to pay for this year, but didn't even give next year a thought!!!! Gonna have to sit down and have a really hard look at things. I'm working my socks off at the moment, and seriously considering whether to cut right back on the mindees, as I had put through every expense I could think of!!

**emmadines** · 13-08-2008, 05:14 PM

WOW, have you put anything aside for it??

taxes

i dont even know where to start!!! ive only just completed my 1st weeks work, now i need to start looking at that ncma tax book thing

needless to say i have just started to put my to be tax money into my tax free isa

hopefully thats gonna work out and im gonna be a good girl (im hopeless at saving money!! theres always something!!!!)

**Angela234** · 13-08-2008, 05:14 PM

What a bill! Poor you
The highest i have had to pay yet is £106 i do put down a LOT of expenses.

Angela

**brillminder** · 13-08-2008, 05:35 PM

i think -it sounds a lot but the net earning are 10K with normal deductions, we should all have a tax account, & ni to add to or set a direct debit/ standing order to tax & ni office to help bad savers

**Chimps Childminding** · 13-08-2008, 05:43 PM

WOW, have you put anything aside for it?? (Quote from Emma)

Put some aside (but only in the last couple of months, hoping that if I didn't need it I could use it for christmas (not much hope of that!!!!!!) but no where near enough to cover the £1200.

Serves me right really, I have been meaning to put some away each month, but it never quite makes it to the bank

I have learnt my lesson for next year though!!!!!!! Will try and keep my accounts up to date so that if it looks like I will need to pay tax by say February 2009, I will go out and replace toys/equipment instead of giving it to the tax man & hope that what I have paid on account he will give me back eventually

**Minstrel** · 13-08-2008, 05:47 PM

Thats a good idea, if the money has to be spent anyway you might as well get resources out of it.!!

**brillminder** · 13-08-2008, 05:51 PM

Remember any net earnings (Gross- expenses =( net))
net amount over allowance approx. £5493 year ( most folks) you will have tax to pay

**Mrs.L.C** · 13-08-2008, 06:15 PM

I know how you feel hun. Mines the same. Iv never had to pay some for the following year before so havnt budgeted for it

**emmadines** · 13-08-2008, 06:19 PM

Originally Posted by CAROLYN

WOW, have you put anything aside for it?? (Quote from Emma)

Put some aside (but only in the last couple of months, hoping that if I didn't need it I could use it for christmas (not much hope of that!!!!!!) but no where near enough to cover the £1200.

Serves me right really, I have been meaning to put some away each month, but it never quite makes it to the bank

I have learnt my lesson for next year though!!!!!!! Will try and keep my accounts up to date so that if it looks like I will need to pay tax by say February 2009, I will go out and replace toys/equipment instead of giving it to the tax man & hope that what I have paid on account he will give me back eventually

i've only just started so im all in the good will to do it bit!! fingers crossed thwat i will put it in, im in 2 minds of actually splitting the payments from parents into 3. 1 for tax, 1 for me and 1 for the savings account. (obviously anything i need for the business can come out of the savings pot and then go don as expenses

but like i said.....

i've only just started so im all in the good will to do it bit!!

wheather thats gonna actually work ................... well thats anyones guess!

**Lou** · 13-08-2008, 06:48 PM

This exact same thing happened to me last yr!!!!!!

So this year i sent mine off to an accountant, i earned roughly the same as last yr and had put a similar amount through in expenses, but in stead of having a £1200 tax bill, i had a £70 bill for accountant and no tax to pay!!!!!!

Well worth it, i highly reccomend it, i will deffo use him every yr from now on!!!

**sarah707** · 13-08-2008, 06:57 PM

Originally Posted by brillminder

Remember any net earnings (Gross- expenses =( net))
net amount over allowance approx. £5493 year ( most folks) you will have tax to pay

In 2008-2009 the threshold is £6,035 BUT don't forget that they've abolished the 10% tax rate...

So next year everything over the tax threshold will be taxed at 20%

I am making myself put away 20p in the pound of everything I earn this year just in case...

http://www.hmrc.gov.uk/rates/it.htm

**Monkey1** · 13-08-2008, 07:02 PM

OUCHHHHHHHHHHHH!!!!!! Gosh, i think i would rather cut back on mindees and spend it on resources for the kids instead.

**Chatterbox Childcare** · 13-08-2008, 08:46 PM

I got caught last year and it isn't the 50% for the following year but the Class 4 NI that goes with it too.

You can pay the Inland Revenue by Standing Order which you set up on line or through you bank or I put 10% a month away in an ISA.

Debbie

**Mrs.L.C** · 13-08-2008, 08:54 PM

Originally Posted by DebbieS26

I got caught last year and it isn't the 50% for the following year but the Class 4 NI that goes with it too.

You can pay the Inland Revenue by Standing Order which you set up on line or through you bank or I put 10% a month away in an ISA.

Debbie

Isnt the class 4 NI compulsory?

**sarah707** · 13-08-2008, 09:22 PM

Originally Posted by topchick_dav

Isnt the class 4 NI compulsory?

I don't pay NI - I have an exemption certificate because I have children at home.

I checked my pension status very recently and it's not affected.

They try and frighten you into paying saying your pension entitlement might go down but that's certainly not the case for me.