Hi All,
I have a client who has been employed for around 9 months of the year, and self employed, as a courier, for only 2 months, to 5th April 2012.
Obviously he now has to complete a tax return, and I'm just wondering which is the best way to do it.
A local accountant says to estimate the profit for the 2 months, then send in a revised return for April 2013, to save doing a full set of accounts just for 2 months, which does seem to make sense.
Would anybody else approach it a different way?
Thoughts appreciated.
I would make the first trading period 2 months, then the next period 12 months from April - March. I generally wouldn't estimate figures on a tax return as rightly or wrongly I think it would increase the chances of it being investigated.
Does this courier work for just one 'contractor' without using their own vehicle? If so, it is a consideration to draw as little attention to him as possible and I am sure he would accept a greater fee for full final accounts. If he will be busiest at Christmas, then it would be tax effective to prepare a 2 month set.
