Tax Returns and File Accounts

Bluetooth1

Can anyone help we with a question I have been asked .

What is the difference between filing you Vat returns and filing a set of accounts?

Thanks in advanced

swanvill

Hi,
A set of accounts is your annual statement where you have you revenue and your expense listed and it shows if you have made a profit or not at the end of your year. The VAT return is just a form that you complete which shows your output VAT (Sales) & input VAT (purchases & expenses), you then pay the net vat (output VAT exceeds inputs VAT) to the Collector General or claim a refund if the input VAT exceeds output VAT

Bluetooth1

Does Form 11 ( Pay and File Income Tax Return for the year 200? ) mean filing a set of accounts for that year.

Thanks

mkdon05

Sole Trader:
Vat return - As swanvill said
Filing Accounts - Form 11 (Income tax Return)


Limited Company:
Filing Accounts - The final prepared accounts are filed with the Company Registration Office.
Vat return as above.

Bluetooth1

Ok Thanks for your help so far . My friend has just gone out of business and when going to the social welfare they have asked him for a set of accounts . Do you know when he can get them .

Dixie Chick

Bluetooth1 wrote: »

Ok Thanks for your help so far . My friend has just gone out of business and when going to the social welfare they have asked him for a set of accounts . Do you know when he can get them .

He would get them from his accountant? Or was he doing his own accounts? Also had he a company or was he working as a sole trader?

Bluetooth1

He is not dealing with the accountant . He is a sole trader

ibarelycare

Bluetooth1 wrote: »

He is not dealing with the accountant . He is a sole trader

Did he actually file any returns then? If he did do his own then he should have kept a copy of them. Do you know if he submitted them via ROS (Revenue Online System) or manually? If he did them online he can print out a copy from his inbox. His 2008 return isn't due until 31st October so the social welfare may accept his 2007 accounts.

censuspro

Bluetooth1 wrote: »

Can anyone help we with a question I have been asked .

What is the difference between filing you Vat returns and filing a set of accounts?

Thanks in advanced

They are two completely seperate items. You file VAT returns with revenue and accounts with the CRO.

jcoolie

Hi,
I set up a limited company in 2007. This company never traded, i returned the Annual return last year but i have'nt filed this years B1 form on time. I tried to file online today but there is a late fee or circa €300 in addition i can't file the return without a balance sheet and Auditors report. At this stage i think i might be as well off not to file a return and let the company get struck off, any advice would be appreciated. If i do file a return how do i get an Auditors report and what is this likely to cost?

JESSELVA

Afraid its not a simple matter of a "report", you need audited accounts when the return is late. PLUS you will also have lost your audit exemption for next return and accounts for that return will have to be audited too. You need to seek out an Auditor and see if he/she will argee to audit your accounts', prices vary, it will most likely be anywhere between €1,500 and €5,000. It depends totally on the work the Auditor will have to do, i also depends' ,on how accurate or otherwise you have kept your books' and records'. If there was a genuine reason for late filing, ie perhaps citical illness or bereavement, the Director of Corporate enforcement might ,(note I say might) waive the fees'. I ve known it to happen. Each case is viewed on its own merits'. If you feel that there are good and sufficient reasons, write to ODCE clearly setting out your claim. You could always just let the company be struck out, but this is not a route to pursue. Directors are being prosecuted many years after the event for failing to file returns' , plus, you could end up being disqualified from acting as a director again and you cannot guess what you might wish to do in the future.

Bluetooth1

Thanks JESSELVA , My friend is a sole trader , so can he still get struck out , this might be the easyist way out of it.
Thanks

ibarelycare

Bluetooth1 wrote: »

Thanks JESSELVA , My friend is a sole trader , so can he still get struck out , this might be the easyist way out of it.
Thanks

What Jesselva said only applies to companies. You don't get "struck out" if you're a sole trader; you only have dealings with the tax office, not the CRO. If your friend is filing his Income Tax return late he's going to incur fines and is a likely candidate for a tax inspection. You said the social welfare are looking for a set of accounts for him, is it for a mean's test or something? He is probably going to need to consult an accountant to look after this for him.

JESSELVA

Sole traders dont file accounts with the Companies Registration Office(CRO), if you are referring to Revenue Commissioners and Tax Returns its a different matter altogether. If your friend is a sole trader and the business is not trading anymore, first thing to do is DEREGISTER with their Local Tax Office. Do that FIRST. Establish WHEN the business stopped trading. Contact your Tax Office, request a cessation of trading Form or download from www.revenue.ie. Fill out, send back immediately. This will stop the revenue generating further returns for the taxes you have registered for AND stop them raising estimates for returns that would continue to be raised if you do not deregister. Afraid you still must file all outstanding tax returns for the periods you were registered for. And it is prudent to do so, you might well end up better off too. Rest assured, if the revenue commissioners dont know what your liabilitiesare, the will estimate them, AND send the Sherriff to collect on them. The thoughts of getting stuck in and dealing with it all are often worse than actually doing it so give it a go.

jcoolie

:)Thanks Jesselva, I got a nil balance sheet and audit report today, i hope this is all i need to say above board. i'm going to return the filing tomorrow, so i guess i'll soon find out.