Hi Eunice
I dont do self assessments so can only go off my own personal experience.
When I was first self employed it was only for a part of a tax year, I completed the SA online and HMRC only requested the payment for that year. My second year was obviously a full year and it was only when I completed that SA that I was then billed for the tax for that year, plus the first payment on account for the next year. Hope that helps!
Happy New Year
__________________
Joanne
Winner of Bookkeeper of the Year 2015, 2016 & 2017
Thoughts are my own/not to be regarded as official advice,which should be sought from a suitably qualified Accountant.
You should check out answers with reference to the legal position
No he wouldn't need to make payments on account until the first full year is put through , it's good practice to put money aside in preparation but it doesn't need paying to hmrc
Thanks for the responses, some good news to start the year ! (although no doubt the client
will think differently next January when he has to cough up !)
Just to add that they may be faced with 1˝ times the liability in January 2016 because the due date for POA is the same as the 'balancing payment' date. And half again six months later. You may consider if it is worth bringing forward any planned capital expenditure slightly or if there is a PAYE source to whcih the liability can be coded out.
kind Regards, Tim
NB. This SALF isn't a manual I'm familiar with but looks informative.
