Self Employed - Tax?

[Caitlin_E]

Hi,

My OH is trying to go self employed in plastering and we have bought a van and all the tools he needs and i have been told by a couple of people that he can claim all his exspenses back on his tax return.

 

But how does it work can someone explain it to me, as at the moment he isn't earning any money as there is no work at the moment and were not sure when he will get any.

 

Do we still put the expenses through or do we have to wait until he is earning?

 

Thanks

[lynsey82]

Hi Caitlin, my husband started Self Employed a couple of years ago now and yes you can claim everything back. He needs to speak to an accountant to get some proper advice, my accountant is called Lee and he does an excellent job.

 

Basically you need to get receipts for everything and keep them, make sure you ask for VAT receipts from petrol stations, he can claim for tools, materials, clothing (work), vehicle (he can claim for the van he bought as long as he's got a receipt), internet bills, phone bills, buying office equipment, even a percentage of your energy bills (for washing his work clothes). You'll need to do a tax return next april but if you've got enough receipts and income you will get something back.

 

What business has he set up in and where are you based?

 

Lynsey

[Ms Macbeth]

He needs to register as self employed. This might be helpful: http://www.hmrc.gov.uk/selfemployed/iwtregister-as-self-employed.htm

[Keith Rich]

Hi,

My OH is trying to go self employed in plastering and we have bought a van and all the tools he needs and i have been told by a couple of people that he can claim all his exspenses back on his tax return.

 

But how does it work can someone explain it to me, as at the moment he isn't earning any money as there is no work at the moment and were not sure when he will get any.

 

Do we still put the expenses through or do we have to wait until he is earning?

 

Thanks

 

All your husband has to do is keep a reord of everything he earns and then take away his expenses. He will then arrive at his profit figure.

 

You can get an accountant if you need it but for a one man business it is not really necessary. There are plenty of books available that give advice and an accountant will cost a fortune. As someone has already said get a reciept for everything.