I'm no expert, but for the purpose of your Self Assessment Tax Return, you need to return your self-employed income from 1st December 2011 to 5th April 2012 on your 2011-2012 Tax Return, and add the self-employment income (from your P60 which your employer would have given you). from April 2011 - March 2012.
Your 2012/13 tax retuirn will show your self employed income from 6th April 2012 to 5th April 2013, and your employed income for April 2012 to November 2012, as per your P45 which you will have got from your employer when you left.
2011/12 - 01/12/11 to 05/04/12 (this periods self aassessment)
2012/13 - 06/04/12 to 05/04/13 (Next January's self asseessment)
There will be no overlap profits due to the chosen dates.
2011/12 will have employment and self employment pages in the self assessment return.
You complete the self assessment (SA100) for the full 12 months but the self employment insert will only be for 4 months in the first return.
Unless your return is more complex or turnover above £73k the self employment insert to use will be an SA103S rather than an SA103F.
Hope that helps get you started,
kind regards,
Shaun.
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Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
we crossed in the post but I'm pretty sure that we're in total agreement there so your more of an expert than you are giving yourself credit for.
all the best,
Shaun.
__________________
Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
I believe I am required to complete my self assessment return for a 12 month period from when I started trading on 1st Dec. 2011 (basis period).
I was employed from April 2011 - July 2012 and payed PAYE during that time.
Hi JMT
Easiest way to deal with is to do a set of accounts from 1/12/11-31/03/12. This will form the basis for your 2012 tax return.
Thereafter do 12 month accounts to 31/03 so next period will be 12 months to 31/03/13 which will form the basis of your 2013 tax return. This will avoid problem of overlap relief if you do a 12 month period of account from 01/12/11-30/11/12 as your 2012 tax return will be assessed on the period 01/12/11-05/04/12 and your 2013 tax return will be assessed on the period 01/12/11-30/11/12. Therefore you are taxed twice on the period 01/12/11-05/04/12. Doing a 4 month period from start to 31/03/12 and 12 months thereafter avoids this. There is no obligation to do a 12 month period of accounts when you start. Split them into the tax years. ie to 31 March each year.
Re your employed income then for the 2012 tax return you will only be assessed on the 12 months to 05/04/12. You should use your P60 to get the details of gross pay and tax deducted. You should only have to pay additional tax on your 4 months self employment if tax has been correctly deducted under PAYE.
In your 2013 tax return you will be assessed on the period 06/04/12-july 2012. Your P45 will give you details of your gross pay and tax deducted.
There is a year end (05/04) within the first tax year therefore the 2012/13 tax year will be 06/04/12 to 05/04/13.
There are no overlap profits in this instance.
I think that his is just that you may have slightly misread the question Mark (that's normally my forte) as Mike is not intending to run their year to 30/11 but rather the 5th of April (31st of March would have been better as you state)..
Happy to be corrected if the misunderstanding is mine.
Mike,
when Mark says 31/03 there are special rules in that up to 5 days before the 5th of April are taken as being until the end of the tax year so no overlap is created.
kind regards,
Shaun.
__________________
Shaun
Responses are not meant as a substitute for professional advice. Answers are intended as outline only the advice of a qualified professional with access to all relevant information should be sought before acting on any response given.
