One for VAT registered guys

[P4dstar]

Comprende

No, but yeah, but no, but yeah, but.....

So I had the normal scheme right but the flat rate scheme is a bit more confusing.... Mostly makes sense now though. That seems a F'd up way to do things though.

 

[P4dstar]

Glad I have an accountant ?????

Oh wow, you have an accountant do it all for you? Wish I'd thought of that. You should have mentioned it earlier ?

 

[Part Timer]

No, but yeah, but no, but yeah, but.....

So I had the normal scheme right but the flat rate scheme is a bit more confusing.... Mostly makes sense now though. That seems a F'd up way to do things though.

Very easy after you've done it the first time, the online system is actually fairly idiot proof so you should be fine ?

 

[TruWFP]

Find this thread interesting despite it meaning nothing to me at the moment. While moping my kitchen floor at minute ago after reading the previous posts I had a thought: (and please correct me if it’s a mad/stupid idea)

But- Those of you who are going Vat registered presumably have someone else working with you, would it not be easier if instead of just having say for example “Ryan’s window cleaning” with say 2 vans on the road, who offer, not just windows cleaning, but the usual gutter cleaning, roofing cleaning blah blah etc. Would it not be easier and better money wise instead of all keeping it one business, make a second business with the second van, call that van “Ryan’s High spec exterior cleaning” then you can have two separate vans with both technically different businesses, one ‘window cleaning’ the other ‘various different cleaning services’ as you can still be the owner of two different business correct?  So you can have two vans (with potentially 2 employees in each or whatever) with the possibility of turning over £84,999 each without having to go vat registered. Especially those would are 99% domestic based and don’t want to go vat registered. 

As I said I could be completely wrong, just popped it my head. 

You have to have absolutely everything separate, leaflets, computers, pens, office space etc its very risky saying that a lot of people do it but it could be classed as VAT avoidance and you can be billed all of the VAT from the start which would sink most businesses. 

Personally I couldn't be arsed with the faff and the constant worry, I just plan on smashing through the VAT and getting to a point where it doesn't really affect me that much 

Edit- just seen everyone else's replies ?

 

[P4dstar]

Very easy after you've done it the first time, the online system is actually fairly idiot proof so you should be fine ?

Nah, although I like to rip on pjj for turning into Scottish and telling the same stories over and over I also have an accountant. I just want to understand it a little too. Don't like the idea of giving too much financial control to someone but I'd be happy for them to process it all for me. I just want to understand a little of what they're doing.

 

[scottish cleaning service]

I'm at the £40k stage now of made and spent and next tax year I will be paying tax. Bought everything now bar a new van and probably get one this tax year.

Do my tax returns myself at the moment but that will all change next year.

 

[swc1]

Glad I have an accountant ?????

Right!! ???

 

[ched999uk]

I'm at the £40k stage now of made and spent and next tax year I will be paying tax. Bought everything now bar a new van and probably get one this tax year.

Do my tax returns myself at the moment but that will all change next year.

Just a heads up. I believe if your profit levels are at that sort of figure HMRC will start wanting payments on account every 6 months!!!! So you will need to be 6 months ahead in your tax payments!!!! It might pay you to get an accountant this year!!!!

 

[scottish cleaning service]

Just a heads up. I believe if your profit levels are at that sort of figure HMRC will start wanting payments on account every 6 months!!!! So you will need to be 6 months ahead in your tax payments!!!! It might pay you to get an accountant this year!!!!

That's not my profit, that's how much I took in from work. Spent nearly half on materials, fuel, insurance, servicing, and rest on new equipment. I don't need to earn any money because my pension keeps paying my mortgage and household expenses. I paid to advertise on trade cards that go through 50k household letterboxes so I tend to get jobs next to each other every week when they go out. Soon I will just be advertising for roof cleaning because I have enough window clean customers and don't want anymore. ?