I recently helped a friend complete her tax return for 2013. The accounts were made up to 31 October 2012 and recorded a loss for the second year running. My friend was selling second hand clothes in an indoor market but due to the high weekly rent she gave up the market stall at the end of February 2013. It now appears that no trading activiity took place after that date (although HMRC continued to send NI class 2 contribution bills out). What is the best way forward regarding amending the tax return? Changing the accounting period (extending it from 31 Oct to 28 Feb)? Grateful for any advice.
Probably as easy to prepare another short period set than amending the existing ones. Might be worth checking your friend's calculations / possible Overlap Relief which depends on commencement date and any changes of year end.
