Cooperate Tax

[Alexxxy]

Is there a way that I can do my own cooperate tax assessment and return as a self employed company director but I only earned just over 2k but accountants are asking for over £400 please help?

Are you a limited company? If not you don’t do corporate tax return; if you are self employed you do income tax return and you can do it yourself

Just google income tax return HMRC, need to get access to the site first; hopefully you have all the papers.

Do you already file your own accounts? We charge for accounts and CT600 as one thing.

Sorry, but... If you can't even spell corporation tax, then I'd say you probably do not have either the knowledge or the experience to calculate the most tax-efficient way of managing your finances, then file statutory accounts at Companies House, and do your own personal tax return to HMRC.

Also are you sure you are actually a limited company? Your profit is very low for a limited company? What is your turnover?

It's not rocket science, but you need quite a bit of accounting and tax knowledge. I.e. you need to be able to understand double entry book-keeping and accruals principles, and be able to understand the difference between revenue and capital expenses, how to calculate depreciation, etc., to be able to prepare the profit and loss account and balance sheet. You need to know what expenses aren't allowable for corporation tax, such as entertaining. You need to adjust for stocks and work in progress, make provision for accrued expenses and prepaid expenses, and accrued income, unpaid sales invoices, unpaid purchase invoices, etc. If you can do all that, then yes, you can probably prepare your own company accounts and corporation tax returns. If not, then £400 is pretty cheap for a qualified accountant to do it all.

Why are you a limited company in the first place for such a low level business? You'd probably be better off as a sole trader as the accounts/tax return for a small sole trader are a lot simpler, basically just income and expenses with no need for accruals, year end stock and work in progress adjustments, etc.

£400 is cheap. What is your T/O & Profit?

I have not done anything yet, how much do you charge?

It depends on a lot of factors. We probably wouldn't have recommended you to form a limited company in the first place to be honest. Sole trader sounds like it would have been more suitable.