Does anyone here (self-employed) do their own tax return? I am fed up of paying accountants.....

[orangina]

Hi there. I am self employed, and run a very simple business. No work outside the UK, VAT registered (I do my own VAT), work from home, don't have a company car or anything. Have just got my accountants to do my tax again this year, and have decided it is just NOT worth it, would rather do it myself.

Does anyone here do their own tax? Can anyone recommend a book or guide so that I can do my own tax next year? It can't be rocket science....

Thank you!

Fanniadams, it depends. Unfortunately some people that use Sage 'think' they are doing a wonderful job but actually it's a complete and utter mess. Not saying yours is but IME there are a lot of people who think they can do bookkeeping and can't. In one case it was an actual bookkeeper who didn't see any issue in posting everything at the year end date!! absolute nightmare.

If I were you I would be asking the current account why the bill is what it is, what they have to do when they get your accounts on Sage in order to produce the year end figures.

With limited companies there is a lot of work that must be done to satisfy all the rules and regulations, it isn't as simple as it may seem.

Approach your accountant in the first instance to see what they say.

sounds high to me
do you ask them to break the bill down into task completed
CT calc
CT return (in iXbrl)
Comp House Return
4 x tax returns
I'd have thought there is a few hundred pounds of shake in there
BUT
do they give you constant feedback and business strategy advice whenever they deal with you
I do that for my clients and they NEVER comment on my fees ...

Thanks Eddas and Talkin for your comments. The 4 SA returns are just over £1000 and the rest isn't broken down just - 'company accountancy services' to do the CT return, computations and Companies House accounts. I had a chat with them after they had done our accounts and the only issue they highlighted re: sage was related to a single cash withdrawl. There were less than 500 xtn's for the year (not counting end of year journals)

I have a bit of a finance-ish background (long time ago)so know I NEED their expertise, the price was just a bit still, I can plan better for this year and nope, no strategic advice yet, but I live in hope! :)

£1k for the 4 returns seems pretty steep, unless they are complicated and have lots of things on them? When we deal with a Company and do the director's return it is normally about £75+VAT because all the info we need to go on the return is in the company info. But it does depend on what goes on the returns, eg if there is rental income or something. But still £250 per return does sound a fair bit.

Wow my DH only paid £150 for his accountant! And I thought that was more than enough

Oh gosh! this is still very expensive. Anyway, a freelance accountant will charge you less than half of the amount to what an accountant charges

could i ask, what amount do you need to be earning before tax, for it to be better to go over to a ltd co? thanks

£15,000 is about equal, by about £20,000 you should be £500 better off with a Ltd co.

Thanks so much for that MrAnchovy, I earn around 40/45k so am guessing that's clear cut then?

I'd agree with Anchovy ....
I incorporated my business at Christmas

many thanks for that

I used to. When I started, I rang the tax office and they talked me through it, were very helpful in fact.

I earn around 40/45k so am guessing that's clear cut then?

So you'll be paying about £10,500 in tax and NI (plus or minus £1,000)?

I'd be looking to save you about £3,000 as a company. Plus whatever comes out of a review of VAT and expenses. If you are close to the 40% tax band in 2011/12 it would be a good idea to look at this in the next couple of weeks.

yep correct, will get on to it asap! thanks so very much