tax help please?

[Martino]

hi i have.been.self employed for around 6yrs now. does anyone know a way you can pay as you earn rather than at the end of the tax year?...and then somehow you claim your expenses back at the end? would be much easier for me

 

[Ian]

You can pay a set amount per month, direct to HMRC.

 

[Martino]

that would be an advantage do you no how to go about setting.that up

 

[Dan]

Moved to TilersForums Arms

 

[Dan]

HMRC are pretty good customer service wise these days, I'd give them a call and they'll probably get you to register online on their website using your tax code. Then you have options to pay in there via billpay.

I'd also consider speaking to an accountant who can make sure you're claiming for all the right things to get your tax bill down. They always should save you more money than they cost you.

 

[Peter]

Does the CIS scheme let you sort your own tax or only for main contractors?

Prefer the idea of keeping mine in my own bank as a cashflow backup, helps out a bit when dealing with late payers.

 

[Martino]

Cheers for the replys guys i have been thinking about it alot today and i think im going to transfer a set amount into a ISA that way i will get interest too!...wooop wooop lol

 

[CJ]

Tax. :sofahide:

 

[Ian]

Cheers for the replys guys i have been thinking about it alot today and i think im going to transfer a set amount into a ISA that way i will get interest too!...wooop wooop lol

Thats what my accountant told me to do when I first started using him. Put 20% of every invoice in an Isa, get interest on it and you'll have more than enough to cover the tax bill come payment time.

 

[peteablard]

Does the CIS scheme let you sort your own tax or only for main contractors?

Prefer the idea of keeping mine in my own bank as a cashflow backup, helps out a bit when dealing with late payers.

CIS is basically for subbies working on commercial jobs. 20% of everything you earn is deducted by the contractor you are working for and is paid monthly to HMRC. It's pretty good as you normally end up with a decent rebate every year

 

[Dan]

Thats what my accountant told me to do when I first started using him. Put 20% of every invoice in an Isa, get interest on it and you'll have more than enough to cover the tax bill come payment time.

If you do that you'll have a nice bonus around tax-bill time for a holiday or whatever. As it'll never be a full 20% if you're claiming for stuff too.

 

[Peter]

Do a bit myself with builders but just wondering if you can deduct from yourself by this method rather than just being for subcontractors.


Always a nice rebate with CIS :lol:

 

[White Room]

Do they still do the CIS, thought that went out with the dodo....

 

[steve187]

Do they still do the CIS, thought that went out with the dodo....

same thing same name but different method

link here - https://www.gov.uk/what-you-must-do-as-a-cis-contractor/verifying-and-paying-your-subcontractors