Tax deductions

[TillyTwinkle]

Wow, what an amazing bunch you all are!!! I received my tax return papers today and have been dreading it, but after reading through all your comments and links i'm not feeling half as nervous now!!

Having said that, i do have a couple of questions that im hoping someone might know the answer too!

Firstly, for part of last year (April to June) i was doing temping work/receiving jobseekers allowance, then became registered and had mindee for a few weeks and an odd day in june and september. October '07 to end of February '08 i was employed and only started childminding again at start of March.......do i have to put down all my different earnings or just when i was childminding?

Secondly, can i claim for cm items such as equipment/crafts bought whilst i was working elsewhere? I have been paying NI contributions since June even when in employment!!

Im sooooo confused!

Tilly.xx

[sarah707]

Wow, what an amazing bunch you all are!!! I received my tax return papers today and have been dreading it, but after reading through all your comments and links i'm not feeling half as nervous now!!

Having said that, i do have a couple of questions that im hoping someone might know the answer too!

Firstly, for part of last year (April to June) i was doing temping work/receiving jobseekers allowance, then became registered and had mindee for a few weeks and an odd day in june and september. October '07 to end of February '08 i was employed and only started childminding again at start of March.......do i have to put down all my different earnings or just when i was childminding?

I do not feel qualified to answer that - I suggest you ring the tax helpline 0845 300 3939.

Secondly, can i claim for cm items such as equipment/crafts bought whilst i was working elsewhere?

If you bought it for the childminding business, then you claim for it... so long as it was bought in this tax year.


I have been paying NI contributions since June even when in employment!!

Im sooooo confused!

Tilly.xx

Hope this helps!

[TillyTwinkle]

Thanks Sarah, i will be sure to call the tax helpline tomorrow and will make sure i put in all items i have bought!!

Tilly.xx

[Wiggly]

Fantastic thread - thanks for all your time on this one Sarah.

Wiggly
x

[yvonne]

This list is far from exhaustive... feel free to add more!

This is Pauline's link for working out the %ages...

http://www.hmrc.gov.uk/manuals/bimmanual/bim52751.htm

The tax year runs from the previous April to the current April, so don’t give any figures that relate to income/expenditure outside of these dates, except when you are first starting out and have incurred expenses to set up and to comply with Ofsted requirements. Then you can claim the following (and any more you have recorded in your expenses book) –


Stair gates
Grill covers for drains
First Aid box and contents
Fencing needed to make the garden safe
Padlocks for garden gates
Cost of moving locks on doors and making good
Warning stickers on patio doors
Play equipment (indoor and out) incl books and drawing supplies suitable for the age of children to be minded
Reins or wrist straps
Socket covers & other safety equipment
Fireguard
Application / registration fee
Fire blanket
NCMA membership
Accident book
Contracts printing
Public liability insurance
Advertising costs

You can then claim for the day-to-day expenses incurred in running your business from home –

• Baby cutlery/crockery if you do not already have that available
• Boiler or other maintenance agreement (%age)
• Books, magazines, newspapers, posters etc
• Broadband (%age)
• Car insurance, including any extra payable for transporting minded children; tax; MOT; rescue (%age)
• Car – capital allowance or petrol usage - this varies annually – contact tax office for details
• Carpet / suite cleaning (one a year)
• Computer software / printer cartridges / paper purchased for the use of the children in your care or for your work
• Council tax (%age)
• Courses - travel to and from courses
• Days out – to the park (including entry costs and ice-creams once there), seaside, zoo, swimming pool, birthday parties, cinema etc, not forgetting the mileage (petrol consumption)
• Drawing/writing/painting equipment to replenish stocks
• Equipment (normal or specialist), again if needed for a child from a different age group or to comply with a disability request
• Electricity (%age) - including food preparation
• Food, drink and milk used for minded children
If you make batches of food for the whole family and use half for the minded children, claim half the cost of your expenses. It might be useful to keep food receipts for a few weeks every so often to check what you are charging as expenses is right
• First aid equipment to re-stock cabinet
• Food - add up your meals/snacks provided every week!
• Gas (%age)
• Insurance - house (%age)
• Letters/ newsletters to parents
• Magazines to keep up-to-date on minding issues
• Mobile phone - (%age) if you need to be contacted by a parent/school then you will have to carry one
• Petrol - estimated mileage (petrol consumption) to collect/deliver minded children
- Prams / buggies / buggy boards etc bought to replace
• Presents and cards for birthdays, Easter, Christmas
• Safety alterations as required by Ofsted at inspections
• Toys / games etc - to replace broken ones, if you take on a new child from a different age group or to follow a child’s interests
• Ofsted annual fee
• Photographs printed for parents; used in setting; for evidence
• RAC/AA membership (%age)
• Stationery including stamps, pens, pencils, envelopes, cash book, receipt book, first aid record book, photocopying etc
• Safety equipment recognised as needed when doing risk assessments
• Subscription fees to any Childminding groups
• Sundries – include cotton wool, hand towels, kitchen rolls, dustbin liners, gloves, disinfectant, washing-up liquid, loo roll etc
• Telephone / mobile cost / rental (%age)
• Telephone / mobile calls / texts - to parents of minded children
• Toiletries incl nappies if supplied, wipes, toilet paper
• TV licence (%age)
• TV – sky or similar, if used for minding (%age)
• Unexpected expenses arising from minding needs eg car breakdown (%age); boiler breakdown (%age)
• Water rates (%age)
• Wear and tear on household furnishings (1/10th of your total income before any other deductions)

OMG this page has helped me heeps. So glad i found you all Yvonne

[jackie_5]

Thank you so much for your list of what to claim for, I have been new to this site for only a week, and its amazing and so helpfull in what information and tips I am finding out, I have submitted my tax return already,and for the first time it looks like I will have to pay tax... i could have claimed for sky, rac, mot, boiler etc... oh well, thank you for all your tips. As we are registered for a food business now, I do claim for my oven etc to be cleaned, which can be anything from £35 - £95 a time ( incl microwave, hob, extractor and oven) so hope that tip is usefull to anyone.

[sarah707]

Hi Jackie! I claimed for my oven cleaning for the first time this year as well!

I also had my carpets professionally cleaned... I will add them both to the list! Thanks for the reminder.

I hope you are enjoying the forum

[juzza123]

Just wanted to highlight something I spotted regarding car expenses when looking at the HM Customs and Revenue link (link within the link actually!!!) at the start of this thread - "What costs are covered by the mileage rate?
The mileage rate covers the costs of running and maintaining the vehicle, such as fuel, oil, servicing, repairs, insurance, vehicle excise duty and MOT. The rate also covers depreciation of the vehicle.

So if a taxpayer uses the mileage rate basis then they cannot claim any additional amount for these expenses.


Hope this helps.

[sarah707]

Thank you for pointing that out Juzza, you are absolutely right!

That's why the link for the tax website is posted at the same time as the items that are possible for taking off the tax bill.

It's often the case that people do not use their car much but feel it's best to have it insured for minding in case of emergency, so they would be better claiming the insurance / tax etc percentages.

However if people are using their car regularly, as you so rightly say and is clear from the link, you just claim for petrol costs.

You are new so I will say welcome and hope you are enjoying the forum!

Don't forget to say hello to everyone

[aly]

this is a great post. i will pst this and keep it for future reference

thank you

[buildingblocks]

So if a taxpayer uses the mileage rate basis then they cannot claim any additional amount for these expenses.
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Hope this helps.

And for those of you like me who don't drive and use a push bike say to get to the shop for food or for a trianign you can claim 20p a mile

[Minstrel]

And for those of you like me who don't drive and use a push bike say to get to the shop for food or for a trianign you can claim 20p a mile

How would this work?
i thought it actually had to be an actual out of pocket expense.
Unless you bought the bike purely for minding and therefore put the whole cost through.
Help now i'm confused

[buildingblocks]

How would this work?i thought it actually had to be an actual out of pocket expense. Unless you bought the bike purely for minding and therefore put the whole cost through. Help now i'm confused

no idea only know that it is allowed. I think it is simlar to the car - as that covers wear and tear on the car not just petrol costs if that makes any sense. So with a bike it allows for wear and tear on the tyres, service on a bike and yes I do take my bike in yearly for a service lol.

[Paula J]

Hi I was told that I couldnt claim anything back for SKY I asked about a % but tax office told me no can you confirm what % of SKY you claim. I dont have sky at all but know it would be great for the kids especially on those long winter days
Paula

[tomy12]

I work 50 hrs in hols & 35 in termtime.
what % of sky subcription can i claim?


claire

[brillminder]

whats 50 hours from the day time hours as a % your tv waking hours. if you get what i mean good thread, just checking my 2007/08 accounts

[miss mopple]

I was told at a tax info training session by a tax inspector that you can't claim for sky or a tv license.

[Chatterbox Childcare]

My understanding is that you cannot claim the tv licence as that was in the house anyway.

As for sky I would have the famiily package for the children and not my family so I work the bill out pro rata. If you have young children youself, you wouldn't be able to claim anything.

Hope that helps.

Debbie

[Chatterbox Childcare]

Hope this helps!

Sarah = you can make a loss in your first year and this can be carried offer and off set in the next year, so put everything through you can. If you purchased it before the current tax year, write a receipt and pay yourself.

As for your earnings that I think you will of been taxed on, add everything in on the tax return as you should get some if not all of it back. This will depend on the ratio paid compared to your tax free limit.

If you are unsure ask the tax office.

Debbie

[Chrissy B]

I like this thread. Very imformative. It's answered so many of the questions i had.