WHERE LOCAL BUSINESS GROWS

Business Records if you’re Self-Employed

You must keep records of your business income and expenses for your tax return if you’re self-employed as a sole trader or a partner in a business partnership. You’ll need to keep records of your personal income and if you’re the nominated partner in a partnership, you must also keep records for the partnership.


Overview
 

You’ll need to choose an accounting method.

Traditional accounting

Many businesses use traditional accounting where you record income and expenses by the date you invoiced or were billed.

Example

You invoiced a customer on 28 March 2014. You record that invoice for the 2013 to 2014 tax year - even if you didn’t receive the money until the next tax year.

Cash basis accounting


Most small businesses with an income of £83,000 or less can use cash basis reporting. With this method, you only record income or expenses when you receive money or pay a bill. This means you won’t need to pay Income Tax on money you haven’t yet received in your accounting period. There are different rules on keeping records for limited companies.

What records to keep
 

You’ll need to keep records of:

  1. all sales and income
  2. all business expenses
  3. VAT records if you’re registered for VAT
  4. PAYE records if you employ people
  5. records about your personal income

Why you keep records

You don’t need to send in your records in when you submit your tax return but you need to keep them so you can:

  • work out your profit or loss for your tax return
  • show them to HM Revenue and Customs (HMRC) if asked

You must make sure your records are accurate.

Keep proof

Types of proof include:
  • all receipts for goods and stock
  • bank statements, chequebook stubs
  • sales invoices, till rolls and bank slips

If you’re using traditional accounting

As well as the standard records, you’ll also need to keep further records so that your tax return includes:
  • what you’re owed but haven’t received yet
  • what you’ve committed to spend but haven’t paid out yet, eg you’ve received an invoice but haven’t paid it yet
  • the value of stock and work in progress at the end of your accounting period
  • your year end bank balances
  • how much you’ve invested in the business in the year
  • how much money you’ve taken out for your own use

Business expenses
 

You’ll need to record all your business expenses for your tax return.

Allowable expenses

These can include:

  • office stationery or printing costs
  • staffing costs
  • use of premises
You can claim some of these allowable expenses using the ‘simplified expenses’ scheme - this lets you use flat rates to reduce the amount of record-keeping you need to do.

Vehicles

‘When you buy a vehicle, you can claim ‘capital allowances’ for part of the cost each year. For some vehicles you can claim all of the cost in the year you buy it.

You can also claim a capital allowance if you already own a car or vehicle and start to use it in your business. You need to find out the value of the car when you start to use it for your business.

You can’t use simplified expenses and capital allowances for the same vehicle - you must choose one or the other.

If you claim capital allowances, you must keep records of:

  • what you paid for any vehicle
  • CO2 emission level (for cars bought after 6 April 2009)
  • any personal use of the vehicle
  • allowances claimed each year
  • the remaining value of a vehicle after allowances have been deducted
  • the proceeds of any vehicles sold, exchanged or given away

Buying equipment, plant or machinery

When you buy office equipment, furniture, machines or tools for your business, you can claim them as capital allowances. These are called ‘plant and machinery’.

Most businesses can claim an ‘annual investment allowance’ (a type of capital allowance) for the full cost of business equipment bought in a particular year.

You’ll need records of:

  • the purchase price of any equipment
  • the proceeds of equipment you claimed the annual investment allowance for and have sold, exchanged or given away
  • any private use
If you claim the allowance over a number of years, you’ll also need a record each year of:
  • allowances claimed
  • the remaining value of any equipment after allowances have been deducted

HM Revenue and Customs (HMRC) has detailed guidance on capital allowances and annual investment allowances on plant and machinery.

Leasing equipment

This is dealt with under allowable expenses instead. You must keep the leasing agreement and a record of all lease payments you make.

Working from home

You can claim costs if you work from home.

If you're not using simplified expenses (flat rates) for this, you must keep all the bills you’ve paid and show what portion of each bill is due to you working at home.

Personal use of business assets
 

If you use business assets for both personal and business use, you must:

  • work out the value of your personal use
  • take that away from the total amount you claim against your tax bill
You must keep records so you can work this out accurately.

Example

You use a computer for business reasons as well as personal use at home.

Keep records which show how much time you’ve spent using the computer for business and personal use, so you can work out the right proportion to claim as a business expense.

Keep your business and personal records separate so you can accurately complete each part of the tax return.

How long to keep your records
 

You must keep your records for at least 5 years after 31 January of the relevant tax year.

Example

If you send your 2013 to 2014 tax return online by 31 January 2015, you must keep your records until at least the end of January 2020.

Very late returns

If you send your tax return more than 4 years after the deadline, you’ll need to keep your records for 15 months after you send your tax return.

If your records are lost, stolen or destroyed

If you can’t replace your records, you must do your best to provide figures. Tell HM Revenue and Customs when you file your tax return if you’re using:

  • estimated figures - your best guess when you can’t provide the actual figures
  • provisional figures - your temporary estimated figures while you wait for actual figures (you’ll also need to submit actual figures when available)

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News

11 results found, page 1 of 2.  
ABL Business expands into North Yorkshire

Wednesday 21 June 2017

Yorkshire-based business support consultancy ABL Business Ltd are expanding their operations into North Yorkshire. The company, which offers commercial finance and marketing support to SMEs, has engaged Fraser Irvine as an Appointed Representative to cover the county. Based in Harrogate, Fraser will be operating across the area, offering a full mix of commercial finance services. He will assist SMEs in raising the funds they need to trade, grow or stabilise their business, using all the funding lines and capabilities of ABL Business. It marks the third recent growth for the Cleckheaton-based company, who recently set up a new office in Scotland with two representatives just over a year ago and expanded into the North East region in March this year. Fraser Irvine is an experienced Independent Commercial Finance Broker and joins the company with an extensive career in financing businesses under his belt. He has spent almost 30 years working with asset and cash flow funders, which gives him a deep understanding of the financial needs of an SME business. Fraser has worked with new start businesses, as well as more established companies, arranging funding facilities to suit individual needs. His interest in business finance has also enabled him to gain extensive experience in the Management Buy-out, Management Buy-in and transactional market as a whole. He said: “I have known ABL Business and its owners, Andy Redman and Alex Beardsley for many years and really like the independent and client-focussed approach they adopt, so I’m very excited that I’m now joining the team. “ABL Business has access to a vast range of funders, which means I will benefit from being able to offer clients financial solutions that are tailored to bespoke needs. I am keen to help clients from new starts to multi-million turnover businesses to grow and achieve their full potential.” ABL Business Ltd and their appointed representatives have access to over 70 funders, enabling them to find an appropriate solution, no matter what a client’s financial requirements may be. ABL Business Director Andy Redman said: “We’re delighted to welcome Fraser to the team. He has a wealth of experience, which he brings with him from the financial sector, and in business too. Fraser, with his connections and knowledge, will be a real asset to ABL Business and to companies across North Yorkshire. His appointment has enabled us to expand our reach into yet another area and help even more businesses find funding packages that suit their specific needs”.
Posted by ABL Business Ltd
Trans-Pennine Merger for Insolvency Practice Firms

Tuesday 30 May 2017

Poppleton & Appleby Manchester and Brook Business Recovery are to merge. Poppleton & Appleby Manchester and Brook Business Recovery based in Huddersfield are to merge, creating an expanded Business Recovery and Insolvency specialist practice, which will be known as Poppleton & Appleby. Poppleton & Appleby Manchester is one of the UK’s longest established independent regional insolvency practices run by Stephen Wainwright and Allan Cadman, while Brook Business Recovery was established in 2011 after founder Charles Brooks’ lengthy professional career working within a number of national firm’s in the industry. Both focus on supporting business owners as they work through the consequences of commercial and financial challenges. United by a common business culture, one which seeks to obtain the best possible outcome for individuals and businesses affected by the spectre of insolvency, the merger has come about to combine expertise and resources, increase the breadth of each firms’ service offering and allow the trans-Pennine region to be better served from two fully-staffed and ideally situated offices. Stephen Wainwright commented ‘At Poppleton & Appleby I am proud of the level of service that we provide to clients and introducers. For the first time, we are looking to expand outside of the existing practice. We are delighted and excited at the prospect of integrating Charles and his team with our existing dedicated and vastly experienced team. We have an opportunity to develop fresh market opportunities and to add to the bespoke service that we provide.’ Allan Cadman added ‘The Recovery and Insolvency profession is undergoing significant change both in terms of statute and regulation, and also the changing needs of the market place. The skill sets of the individual practices are complementary and as a merged practice will enhance the offering to clients and add strength in the challenging times ahead.’ Charles Brook commented ‘The potential to be achieved from this merger is far too good to miss. Losing the Brook Business Recovery brand is a bitter-sweet moment because it not only carries my name but has also been my life for the past 6 years; growing from working with my first client from the spare room at home to the boutique operation and highly skilled team that we have 6 years later. However, I am excited about the future in combining forces to become one firm with my new partners under the highly regarded Poppleton & Appleby banner with the enhanced capacity to deliver more of the services that our clients require.’ The merged business will continue to focus on saving businesses and maximising value for all stakeholders. They will be officially merging on 1st June retaining all personnel and offices in both Manchester and Huddersfield. - END - For media information please contact Laura Batchelor at KC Communications on 01484 637980 or email laura@kccomms.co.uk Notes to Editor: About Poppleton & Appleby Manchester Located in Central Manchester, Poppleton and Appleby have the knowledge and expertise to handle any insolvency situation and produce the best outcome for all of their clients. Founded in 1885 and still highly respected more than 120 years later, their extensive experience, combined with a sensitive and client-focused approach has helped them to become one of the UK’s largest independent insolvency practitioners. Stephen Wainwright and Allan Cadman have worked at Poppleton & Appleby in Manchester for all of their respective professional careers, progressing through the ranks and maintaining the firm’s position as a cornerstone of the North West insolvency and business recovery profession. Allan is also currently Vice Chairman of the North West Regional Committee of R3, the representative trade body of the Profession. They offer truly independent advice, from their partner-led teams regardless of the size of the company or business issue at hand. About Brook Business Recovery Brook Business Recovery, based in Huddersfield opened 6 years ago, led by Senior Partner Charles Brook. He has over 25 years’ experience in giving all round advice in difficult circumstances. They offer a free, no obligation consultation in total confidence. They also offer support to relationships between Accountants, Lawyers, Financiers and other professional advisors and their clients. About Poppleton & Appleby Poppleton & Appleby will grow to a team of 10 and have over 100 years of professionally qualified experience shared amongst the 3 partners and it’s qualified personnel. It is committed to investing in the training and development of its staff to promote the very best of practices and highest quality levels of service. The newly combined team will work in unison and have specialisms across the broad spectrum of services that the former practices offered. The merged business will retain its full service offering in each location to maximise the benefit of its geographic coverage across the M62 corridor within the heartland of the Northern Powerhouse.
Posted by KC Communications
Sheards Kick Off Fundraising for Kirkwood Hospice

Thursday 18 May 2017

Over 50 local business professionals got together on Monday 15th May for Sheards Accountancy’s annual Curry Night to raise funds for Kirkwood Hospice. The event, held at Chilli Lounge, raised over £720 for the charity, who provide free of charge, specialist care to adults across Kirklees who suffer from advanced or progressive illnesses. Sheards announced their charity partnership with Kirkwood Hospice earlier this year. The partnership will see Sheards undertake a variety of fundraising activity throughout the year with a target of raising £4,000 which will go towards a pressure relief mattress – a vital piece of equipment to prevent patients developing pressure sores. The evening also included a raffle, which had prizes donated by a number of local businesses. Kevin Winterburn, Director of Sheards Accountancy commented: “Our charity curry night has become a popular event in the local business calendar and we were delighted with the turnout and the support at this year’s event. This was our first fundraising event for Kirkwood Hospice since announcing our partnership and we’ve already made a great start to reaching our fundraising total. I’d like to thank all those that attended and made the night a success." Kate Leadbeater, Partnership Development Manager of Kirkwood Hospice commented: “It was a pleasure to join everyone on Monday and to see so many local businesses supporting our charity. We can’t thank Sheards enough for choosing Kirkwood Hospice as their nominated charity this year. They have some fantastic events planned to raise funds and we’re really looking forward to working with them.”
Posted by Sheards Accountancy Ltd
Top 10 Tips for considering Final Salary Pension Transfer

Thursday 18 May 2017

1. Consider all your options Due to the pension changes introduced in April 2015, there has been an increased interest in final salary pension transfers. But there are risks involved so it’s important to consider every option available to you. 2. Be aware of scam schemes Those looking to cash in on final salary pensions are being put at risk of scams by advisers who aren’t doing proper transfer checks. Make sure you speak to your adviser and check they have a robust due diligence process. 3. Understand the investment risk The saying that “past performance is no guide to future performance” still rings true. A final salary pensions scheme mitigates many of the risks of retirement for you but that risk becomes yours if you transfer out. 4. Consider what you’re giving up A good question to ask yourself is “why do I wish to give up an index linked income stream that I cannot outlive and that goes to my spouse at 50% should I die?” 5. What is your marital position? Most schemes will normally pay 50% of your pension to the spouse on death, for single or divorced members this has no value, however, the transfer value includes the cost of providing spouses benefit and can therefore be realised to the member on transfer. 6. Consider the state of your health If your life expectancy is reduced then the opportunity to spend more income in the early years via flexi-access might seem more attractive which can be achieved through the inflexibility of a defined benefits scheme. 7. What is the value of your assets, other income and other pensions? If you aren’t dependent on the final salary pension as your only income in retirement, then it might be that a transfer is more appropriate. 8. What is your current expenditure? An increasing retirement income from a final salary scheme might be more appropriate for those who have a higher expenditure than someone who has more modest outgoings. 9. What is your current tax position? Another benefit of final salary transfer is that it gives you the ability to take income as and when required which might allow you to mitigate income tax. 10. Ensure you get sound financial advice A transfer offers you complete flexibility and control over your pension but as outlined there are a number of risks and other factors as to why it wouldn’t be suitable, so ensure that you seek an experienced specialist for advice.
Posted by Sheards Wealth Management
Sheards Director Appointed President of Huddersfield & District Society of Chartered Accountants

Monday 15 May 2017

Carolyn Atkinson, Director of Sheards Accountancy Ltd, has been elected President of the Huddersfield & District Society of Chartered Accountants. The appointment was confirmed by outgoing President, Mark Fielding, at the groups’ annual meeting on the Wednesday 3rd May 2017 at the John Smiths Stadium. Carolyn began working for Sheards in 1985 following the completion of a Foundation Course in Accountancy at Huddersfield University before qualifying as a chartered accountant and rising through the ranks to become a Director. Carolyn follows in the footsteps of two Sheards colleagues, Michael Dyson and Frederick Sheard who held presidencies in the late 70’s and 80s. Carolyn Atkinson commented: “I’m deeply honoured to have been chosen as the President of the Huddersfield & District Society of Chartered Accountants 2017/18. And as the second lady President to be appointed since the Society began.” “I intend to build on Mark’s good work by reaching out to the other professionals and business community in Huddersfield, and also to involve the students and younger members of the professions in our events.” “We are all very loyal to our Town, and I want to continue to build on those relationships which currently exist, but also to strengthen them and help our future business leaders along the way.”
Posted by Sheards Accountancy Ltd
We’re Hiring – Personal Assistant / Administration Apprentice

Monday 08 May 2017

Job Title: Personal Assistant / Administration Apprentice Apprentice Level: 2 Working Hours: 37.5 Wage: Minimum apprentice wage This is an exciting opportunity for an individual to be part of a hardworking and friendly team. The role as Personal Assistant / Administration Apprentice is to provide administrative support and deliver a high level of customer service and written communication skills to customers and colleagues. The role will include working with financial and personal information and producing reports. Role and Responsibilities: Act as a first point of contact for the practice by answering telephone calls in a polite and professional manner Forward calls to the appropriate person in a speedy and efficient manner Check voicemails and forward to the appropriate person Distribute incoming mail, faxes and courier deliveries Keep accurate and timely records of all communications with clients and product providers. Maintain diaries and make appointments Prepare meeting packs Update the database with relevant information Provide secretarial and administrative support to management and colleagues Interpret instructions and implement actions according to operating procedures Prepare and distribute mailshots including client correspondence Post mail and courier parcels Filing, photocopying, scanning and shredding Check stationery supplies, order stationery and deal with deliveries Input information accurately on to the various systems Correspond information by email and by letter accurately Produce reports as and when required. Continually seek to improve computer skills and the use of the computer as an effective tool to develop efficiency Keep up to date and understand all the company’s internal procedures as they apply to the performance of the role. Desired Skills: Somebody who is a confident verbal communicator who has a polite, clear and professional telephone manner. Written skills should be of a high standard. Good numeracy skills. Good IT skills in the use of Word, Excel, PowerPoint, Outlook and social media. Confident in using email and the internet. Attention to detail is essential when inputting and selecting information Must be able to work to targets and deadlines Must have good time keeping and attendance records. The successful candidate will be Highly organised with the ability to multitask. Willing to work effectively in the team. Personal Attributes: An enthusiastic individual with a positive attitude Friendly and approachable. Flexible approach to work, willing to go the extra mile to get the job done Must be punctual as well as having a good attendance record. Must have a mature attitude and be able to work effectively in a team A willingness to follow business processes and procedures Ability to work on own initiative, when required Ability to work effectively as both part of a team and as an individual Respond positively to the demands of a varied workload. Must be committed to develop skills throughout their apprenticeship training and thereafter. Please note that the successful candidate will be required to keep financial and personal information secure, in accordance with data protection and confidentiality policies. To apply for this vacancy, please email your CV to Saira Najma: sairanajma@sheards.co.uk
Posted by Sheards Wealth Management
The Importance of Making a Will

Monday 24 April 2017

It may not cross your mind how much you’ll be financially worth when you die and, unfortunately, many people don’t think about the impact that not making a Will may have on their family. A Will is the only way in which someone can express how they would like their assets distributing after they die, as well as who would be the nominated guardians for their children. In addition, it can be possible to reduce the amount of tax payable on the estate upon death if a Will is drawn up. What happens if you die without a Will? Over 60,000 estates a year are “intestate” in the UK. This is where no Will was written or where the Will is invalid. In this case, the Court would appoint Administrators to ensure that all debts are paid using the deceased assets, before distributing to the family. However, the spouse may not always inherit everything – for example, if they aren’t married. Similarly, it would not be the spouse’s choice who cares for the children – it would be the responsibility of Social Services. This process can take months and sometimes even years, leaving your spouse with all the expenses as the assets could be frozen until the distribution is complete. The estate would be distributed according to strict division rules – without making a Will, no one person can have an increased benefit. How can we help? We advise our clients on their assets and help them to plan their financial future, but often get asked what will happen to their assets when they die. We strongly advise in making a Will. With a great knowledge of your current assets and your plans for the future, we can help you in making a Will and ensure your family’s security. Speak to one of our advisers today on 01484 448 019 and find out how they can help.
Posted by Sheards Wealth Management
Smith Brothers appoints finance director as revenues soar

Thursday 20 April 2017

Following unprecedented success over the past twelve months, Elland-based high voltage electrical engineering firm Smith Brothers has appointed Richard King as their financial director. With over 30 years’ experience as a financial adviser, and previous directing roles within SMEs, Richard King brings a wealth of accounting and business expertise at an exciting time in the company’s growth. After a year of significant growth in which turnover increased to over £27m, the power contractor has secured a run of new projects. This will see revenue exceed £40m in the next financial year. Commenting on Richard King’s appointment, director John Smith said: “We’ve expanded our operations massively over the past 12 months, so taking on a financial director was the next logical thing to do. “His impressive track record made Richard an obvious choice for the role, and his effective decision-making and vast financial awareness will be pivotal to our continued growth over the coming year.’ With wide-ranging experience in property, manufacturing, the supply chain and public sector, Richard brings versatile financial management, budget strategy and fundraising skills to the position. He commented: “Joining a fast-growing, end-to-end business like Smith Brothers always brings excitement and challenges in equal measure, but I’m looking forward to both. “The company’s expansion over the past 12 months is certainly something to be proud of, and we’re focused on consolidating that growth this year, with our move to bigger premises and recruitment of additional skilled workers. This will set the groundwork for further expansion into 2018.” Taking charge of the firm’s finances, Richard King joins founders John and Richard Smith, as well as David Ogden and Craig Collinson, on the board of directors. Established in 1990, Smith Brothers works on high voltage power engineering projects up to 132kV, providing turnkey electrical and energy management solutions to a widening client base throughout the UK and overseas.
Posted by Scriba PR Limited
HMRC are “Making Tax Digital”. Are you in the know?

Monday 20 March 2017

The government initiative “Making Tax Digital” was first announced in 2015 and will see huge changes to the current tax system, bringing an end to the tax return by 2020 and requiring businesses to manage their tax affairs digitally. To help businesses understand more about the upcoming changes and how it will affect them, Sheards Accountants will be hosting a free event on Thursday 30th March at Huddersfield Rugby Union Football Club. The event will provide an insight into the operational changes that businesses may face once the new system is enforced as well as the benefits that will be gained from switching to digital tax. Steve Reynard, Regional Manager for QuickBooks, will give an overview of Making Tax Digital and its impact on all businesses, together with an introduction to the QuickBooks platform and how it can assist businesses not only comply with the changes, but take control of their finances.   Digital tax will begin to be enforced in April 2018; self-employed individuals and landlords will be the first to move over to the new system, shortly followed by incorporated businesses. Kevin Winterburn, Director of Sheards Accountancy commented: “We understand that the upcoming changes to the current tax system may seem daunting and that there may be an increased reporting burden, given that financial information will need to be submitted to HMRC on a more regular basis than is currently required. " “But all businesses should have up to date information on their finances in order to make informed business decisions. Making Tax Digital is an opportunity for businesses to get control of their finances, to simplify and modernise their systems and give them valuable information, at the right time.” “Our message to business owners is a simple one. There are fantastic accounting tools now available that can help you improve your business. Look at making them a part of your business as soon as possible, don’t wait for HMRC to enforce it!” The event will take place from 11:30am – 2:00pm and will include a light lunch and an opportunity to network with other guests.
Posted by KC Communications
Sheards Accountancy announce charity partnership with Kirkwood Hospice

Monday 20 February 2017

Leading Huddersfield accountants, Sheards Accountancy, have announced that their charity partnership for 2017 will be with Kirkwood Hospice. The partnership will see Sheards undertake a variety of fundraising activity throughout the year with a target of raising £4,000 which will go towards a piece of vital equipment for the in-patient unit from the Hospice’s Birthday Wish List. Kirkwood Hospice, who are celebrating their 30th anniversary this year, provide free of charge, specialist care to adults across Kirklees who suffer from advanced or progressive illnesses. Sheards will host a number of fundraising events which will include their ever-popular, annual curry night which will be taking place in Spring and has historically seen over 100 local business professionals attend. Kevin Winterburn, Director of Sheards Accountancy commented: “Kirkwood Hospice have been such a huge part of the community for 30 years and have helped so many. We are really looking forward to working towards our fundraising total to support the fantastic work that Kirkwood Hospice do." Kate Leadbeater, Partnership Development Manager of Kirkwood Hospice commented: “Our new charity partnership with Sheards is one that we really value and we can’t thank them enough for choosing Kirkwood Hospice. Sheards have fantastic links to the business community and have some great events planned to promote our work to other local businesses while raising money to support our charity. We really appreciate Sheards’ support and look forward to working with them this year.”
Posted by KC Communications
11 results found, page 1 of 2.  
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