Dumb Tax Return query

[ArtfulAardvark]

Well doing my first TR and so far so good - I am self employed and have one figure as income and no expenses, no additional income so all straight forward.

Am now on a page which says underpaid tax included in PAYE coding - where the hell do I find this info. I dont have much paperwork, the "Tax Return and payment reminder" have no figures on it.

Underpaid tax is usually carried over from the previous year. Underpayments info Are you newly self-employed? Do you owe HMRC anything from the 2010/11 tax year as far as you know?

Should add... have you still got your PAYE coding notices for 2011/12? If there is underpaid tax it would probably appear on those as part of the calculation.

Self employed with no expenses? Really? No mileage? What about use of home?

Re Underpaid tax? Were you employed last year? What was your tax code?

"...underpaid tax included in PAYE coding..."

The only place you can find this is a Notice of Coding that matches the tax code on your last pay slip for the year or by calling HMRC.

seriously - you have no expenses to claim as a self-employed person? Phone? Broadband? Nothing?

I would look at that again.

re the tax underpaid - it may well be that you have none if you were a PAYE taxpayer and you were being correctly taxed.

A quick(?) call to HMRC will answer this for you if you dont have a coding notice

Return to work after a long break, I am below the tax threshold (not as much work about as I would like)

No expenses - office services - client supplies materials and I use their electric!

You could claim some phone calls mail costs etc. - for getting wor etc

Use of home costs as home office for invoicing etc

Work not wor

Yeah i could chablis but, as I am below the tax threshold and my client paid all expenses, what would be the benefit of that? Not being funny, genuinely interested as its all a learning curve for me.

Phoned HMRC as I was concerned the return didnt look how it should and apparently I have dont it all right....lets wait and see eh!

You can claim so you are not out of pocket for expenses incurred for work.

I can see your point about being below the threshold.

But I would advise my clients to claim expenses incurred even if below threshold.

Well I used the client's computer, printer, ink, paper (electric) so not actually any expenses this year, obviously in future years if I have more clients and this isnt the case I wouldnt let expenses chip into my profit

Good luck with the business!

Hope it all goes well for you.