Books needed for end of year tax

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myate

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I've just finished my 1st year in a part-time soletrader business. I have an accountant, but was wondering if anyone here knew what books I need to have for end of tax year in Oct. ie: Balance sheet, profit & loss a/c...is there any other ones. I'd like to get them done before my accountant submits...they'll do them for me but at a high rate! Thanks in advance.
 
You will already have purchases + sales ledgers if you have the above ...and you will need them to do your vat returns if you are vat registered. Shop around for an accountant...their rates will vary widely. Often the most expensive are not always the best too. You will probably find once they have you hooked their rates will go up a lot each and every year...change acccountant then , just as you would shop around f your local petrol station jacked up the price of a tank of petrol.
 
rabbit said:
You will already have purchases + sales ledgers if you have the above ...and you will need them to do your vat returns if you are vat registered. Shop around for an accountant...their rates will vary widely. Often the most expensive are not always the best too. You will probably find once they have you hooked their rates will go up a lot each and every year...change acccountant then , just as you would shop around f your local petrol station jacked up the price of a tank of petrol.
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Shop around indeed but I'm not sure if changing accountants for the sake of it is a great idea.

For a start each accountant taking on a new client has to spend at least some level of "dead time" familiarising themselves with the client's affairs - obviously this "dead time" ends up being reflected at least to some extent in fees billed to the client. Repeatedly incurring such costs on a regular basis is hardly a good idea.

If one is getting good service and paying fair rates for such service, its hardly wise to change for the sake of it. If you have reservations or concerns about fees, surely it is better to communicate these to the service provider rather than playing silly buggers with them and hopping from one provider to another for the sake of it.

And if you go through x number of accountants or solicitor in a given time frame, then you will surely on the law of averages come across a dud at some stage - which is where the fun begins... ;)
 
ubiquitous said:
Shop around indeed but I'm not sure if changing accountants for the sake of it is a great idea - for a start each accountant taking on a new client has to spend at least some level of "dead time" familiarising themselves with the client's affairs - obviously this "dead time" ends up being reflected at least to some extent in fees billed to the client. Repeatedly incurring such costs on a regular basis is hardly a good idea.
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Nobody suggested it was "for the sake of it". It is for the sake of saving money. Accountant quotations will vary widely for the same work. Why? I suppose there are lots of reasons and some may have different overheads, some obviously charge more than others, some are more - or less- efficient that others etc.

As regards charging for "dead time" familiarising themselves with the clients affairs...lol What next. Compared to the amount that fees can vary that is miniscule.
 
Thanks guys, I have and am happy with my accountant...fees and service. Their fees seem very reasonable compared to some others, and they have a good reputation with tax people in area. I was just wondering about all the books I would need for the end of year in Oct...as their fees were just for organising and submitting, not putting everything into book format. I might drop them an email to be sure. Cheers!
 
myate said:
Thanks guys, I have and am happy with my accountant...fees and service. Their fees seem very reasonable compared to some others, and they have a good reputation with tax people in area. I was just wondering about all the books I would need for the end of year in Oct...as their fees were just for organising and submitting, not putting everything into book format. I might drop them an email to be sure. Cheers!
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As a sole trader you will have an accounting year-end, not necessarily October. It is mormal for your year-end to be 12 months after you start or most will go for a short first year to December to allign themselves with the tax year.

The 2007 accounts will be used for your 2007 Tax Return which will be due by October 31st 2008.

When providing books to your accountant you should ensure you have the following:

- a seperate bank account for the business set up in the business trade name
- Cash Receipts Book ( a summary of all monies received )
- Cash Payments book ( a summary of all cheque payments and direct debits - these will need to be analysed between Creditor Payments and various expenses)
- The Bank should be reconciled
- Sales Invoice Book
- Purchases Invoice Book ( these again should be analysed (the Net amount if VAT registered))
- A Debtors List @ year-end
- A Creditors List @ year-end
- A Stock Listing (if any) @ year-end
- Wages Details & P35 / P30 Returns (if you have employees)
- Copies of VAT Returns (if VAT Registered)

if you have a simple accounts package it will do most of the above for you (of course you enter the data still)

Hope this helps....
 
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