Hi there
I was wondering if anyone could help a self assessment novice with a question I have! I’m really sorry, I’m getting myself in a bit of a mess so this may be about as clear as mud!
In the last year I’ve been running a business on eBay where I’ll buy something that can be split (say, a bundle of clothes) but each item doesn’t have its own stock price. I’ll just buy 10 different items for £20 for example, then I set the price.
So i could have 3 items at £2, 3 items at £5, 4 items at £10 for example. But if only the 4 items at £10 sell before the end of the tax year how do I record this?
To work out my stock as expenses do I work out the proportion of cost that has sold? For example
3 x £2 = 6 unsold
3 x £5 = £15 unsold
4 x £10 = £40 sold
Total possible sales = £61
Total sales = £40
Percent 65.6
Then claim 65.6% of the £20 as expenses and then carry on the rest of the stock to the next tax year? Or am I totally overthinking this?
Thanks in advance if anyone can make sense of my ramblings!! I think I may have to just see an accountant but thought I’d ask the wise people of mumsnet first!