Sole Trader Tax Return (First Year)

[Son]

Hi

I started as a sole trader at the end of 08 beginning of 09.
I remember reading back then that there is no tax return for the first year,instead it is in he second year,so two years at once

Am I correct in saying I don't have to do anything this year and can worry about it next year?

Thanks you most sincerly

[dbran]

Hi

While you are correct to say that the return would not be deemed to be late if you file first and second years returns together, interest will begin to run for the first years tax from the date the first year is due ie October 2009 just gone for the tax year 31/12/08.

Also when you do file in October 2010 for '08, '09 and preliminary tax '10 you should realise that you will be having a massive tax bill, ie three years tax. For this reason alone I would think you should not rely on waiting around until 2010 and file your returns as soon as you can.

Hope this helps

dbran