Prelim Tax Quicky...

[ButtermilkJa]

My accountant is putting together my returns for me this year but I just have a quick question regarding preliminary tax.

I am finishing as a sole trader and started a ltd co next month. Will I have to pay PT for 2008 or will my accountant enter NIL because I'll be taxed PAYE from November?

Thanks!

 

[Guest111]

My accountant is putting together my returns for me this year but I just have a quick question regarding preliminary tax.

I am finishing as a sole trader and started a ltd co next month. Will I have to pay PT for 2008 or will my accountant enter NIL because I'll be taxed PAYE from November?

Thanks!

Should be nil

 

[ButtermilkJa]

Cool, thanks. That should help a lot with cash flow!!

Actually, I just saw the answer in the 2nd post here. Don't know how I missed that

 

[Graham_07]

If you're only finishing sole-trader this month, aren't you going to have 10 months trading in 2007? As Prelim Tax due for 31/10/07 is for 2007, isn't there likely to be an ultimate liability for 2007. i.e. 10/12 sole-trader and a P60 (taxed on PAYE) for 2/12. I'd check with your accountant. ( assuming that you've been sole-trader for a while and not subject to the commencement/cessation of short term business rules )

 

[ButtermilkJa]

Of course, yes. I was getting confused there. For some reason I thought I had to pay prelim for 2008 this month, don't ask me why... long day!!

So yes, I will check with my accountant. My company has been setup since the start of August but I haven't been able to 'use it' yet as I haven't got my VAT number yet!