CM CLUB - Oh dear, what shall I do??? Tax Return - BIG problem! :-(

[looneytune]

I am soooooo embarrassed about this but I really need some advice. I had all my receipts for childminding expenses and everything in a wallet with workings out written down and everything. As the tax return is due in a week today, I went to work on it a while back and couldn't find the receipts etc. Went into panic mode and since then, have spent each day searching places where the wallet may be (should be in my accounts tray!!!) Anyway, I'm now feeling sick with worry about it. I've not managed to find them and without them I can't do my tax return! All I can think is they've got lost in the move (moved house recently) but what on earth am I going to do????

Anyone else not got their tax return in on time for any reason?

LT

[StrawberrySnowflakes]

would be intersted to know about a cleaner as i have another thread asking how to get one and next question was how i sort out tax for it?

[Isyhan]

Yes but for nursing I cant claim for uniform but can for shoes and tights and they are not special clothing?

[alison222]

i aggree with you about clothing, but its because the clothing is not purely for childminding - ie not a special uniform you have to wear -after all you couldn't childmind naked. Don't ask me how the taxman invented these rules.

I've seen discussion of cleaners before and if I remember correctly they can be charged - or a proportion of them at least

[shosha]

Message withdrawn

[Tan1959]

I get through loads of handcream too... Do you mind if I hijack a minute Looneytune?

Does anyone else get a cleaner in? Is this something we can ofset against Tax? say if cleaner comes in twice a week after mindees have gone, does all the things I don't have time to do like clean/sort out the craft boxes, and all toy boxes, maybe irons the minded childrens bedding, hoovers around rooms I use for minding etc. what do you think and would I have to provide receipts for this?

[looneytune]

I don't think you're being picky, didn't think about hand cream - get through loads of that due to constant washing of hands!

[Isyhan]

You know thats not fair about clothing because as a nurse I can claim tax relef on shoes , tights. Surely as childminder we must be able to. Ive been cmding since Nov and have spent so much time on my knees Ive put hole in my nice jeans. What about handcream. My hands were so sore last week. Or am I just being picky?

[alison222]

Dont forget to subtract any entrances to playgroups/soft play etc for any outings you went on, Travel to them - milage or bus fares, things like wipes/nappies etc if you supply them. any receipts for new toys you have bought or any equipment. Any extra carpet cleaning etc.
If you add in these to your calculation it will be a bit lower and should be below the limits.

[Katymac]

Ring the your local Tax office to check - but I think so

[shosha]

Message withdrawn

[Katymac]

Clothing is def a no-no unless it is logo'd apparently- this is due to them being "ordinary" clothing

[looneytune]

I'm pretty sure someone checked and we couldn't claim for clothing. Suppose they'd say it my fault for wearing jeans and that I should live in tatty clothes!

[looneytune]

Tell me about it Katymac, been in a right state about this. Going to kill dh if it ends up being his fault they are missing (which it will as he was very careful with his stuff after the move but just chucked my stuff all over! )

[Zog]

Surely you can claim something for clothing? I'd check with HMRC.

[Katymac]

Mine will be ready mid April too - it's better on the nerves

[looneytune]

Thanks for that! Yes, I definitely won't be leaving it so late again. I never intended too but big things were happening last year including moving house in November and I thought I had plenty of time until the receipts went AWOL after the move.

I must find those receipts as I spent a fortune on stuff in the first year which definitely makes me at a loss - need to prove it!!

Thanks for your help guys!

By the way, how easy is it to do the assessment online? I've registered and got my pin etc, just haven't dared look yet (got tomorrow put aside for it - dh is taking ds out for the day!)

[Judy1234]

Yes, you declare the loss and then take that off your profits in the next year. So don't forget it when you do your tax return for the next year which you can do any time after 6th April 2007 by the way. No need to wait until much later. I always like to get mine done in April then relax!

[looneytune]

Cheers Katymac, that looks like I didn't earn enough to pay tax even before all my spending! I hadn't deducted the wear and tear!!! Wish they'd deduct for wear and tear to clothes - I've got through 5 pairs of jeans since childminding as keep getting holes in one of the knees, never had before!!! Even my new GAP jeans from November have just gone

I've been childminding just over 1½ years now.

Can the loss REALLY be carried over??? How does that work???!!

[Katymac]

10% for council tax & water rates
33% for gas & electric

Tallulah - these are preagreed rates for childminders on a special scheme

Plus 10% of your turnover

Sorry I wasn't reading properly - I am getting ready to complete 06-07's accounts so I gave you the figure I was working with

SO Turnover @ £5748.50
Less £574.85
Leaves £5173.65

If you have used the correct proportions for CT, WR & E £279.24

Balance £4894.41

So you should be OK

But if you find them do proper accounts as any loss can be carreid forward to the next year - when did you start minding?

[looneytune]

Thanks for confirming the amount, I didn't realise it changed each year.

I CAN claim for council tax, water, electric, gas etc and I kno0w exactly how much so I'm sorted there.

Yes, food shopping was just mindees. I wasn't intending at all to put £400. My point was that was roughly the different between where I'd got to figure-wise and how much you're allowed before paying tax. That however was on Katymac's annual figure so need to look again. I will work out the shopping costs the best I can as advised by the person I called.

I will be putting estimated figures not so in my favour so that when I have proper figures, if anything I spent more on shopping etc. Tbh, I don't think the interest will matter on this tax year as if I haven't earnt enough to pay tax then I shouldn't have any interest anyway?

Oh yeah, I mustn't forget mileage too!

Thanks for your help

[tallulah]

tax allowance for 2005-06 was £4895. (£5035 is the rate for 2006-07).

You can't claim for council tax because it isn't a business expense. Same with water rates. Metered water can be claimed plus a business proportion of electric and gas and telephone calls.

Presumably this "food shopping" is only for the mindees and not you or your family?

You'll be OK on your estimated figs but once you put in the proper ones be aware that HMRC does not like round figures for expenses (like £400) because it generally shows someone hasn't kept proper records and has just plucked the figure out of the air. Also if you under-estimate and then find you have to pay some/ more you will be charged interest on the difference because the tax is due on 31 January, no ifs or buts.

HTH

[looneytune]

What? Is it not what Katymac said then?

[bambi06]

£4865 tax allowance

[looneytune]

Not done that bit yet

[mumlove]

Have you taken off 10 o/o wear and tear first?