Late Payment of Tax since commencement of Business

kate680

Hi all,

I am fully prepared for the backlash that may follow this post and believe me, it is nothing that I haven't already scolded myself for over the past few weeks.
Here is my dilemma, in 2014 I set up a very small business. We are now almost at the end of 2017 and I have not yet filed a tax return. My business is still fairly small and I only turned a profit for the first time this year.
Up until September of 2016 I was working in part time employment elsewhere to support my losses and paying taxes through that job.
Although I have no doubt that I sound like a complete chancer, I am not and I want to get on top of my returns, my penalties and anything else that my lack of attention to this matter brings my way.
My hope in posting this is that somebody could offer me some advice in how best to proceed with this matter. Should I contact revenue directly? The obvious solution is to get an accountant on board and this is definitely the plan for next year but I worry that I have created such a large, messy job that any accountant will charge through the roof.

I would sincerely appreciate any feedback.

CIARAN_BOYLE

First off do you have a good record system? If you so no matter how messy a job you think it is it is actually quiet easy.

Secondly penalties and interest are usually on a % of the liability. If you have have a small taxable profit your liability is pretty low.

Mrs OBumble

kate680 wrote: »

I only turned a profit for the first time this year.
....
Although I have no doubt that I sound like a complete chancer.

You don't have a problem, due to the bold bit. And IMHO you don't sound like a chancer. Just someone who's learning about business more slowly than you're doing business.

If you actually made a loss in earlier years (not just broke even), then you can likely carry it forward.

There are also some tax-reliefs available for people who move from PAYE to self0-employed. I don't know the rules about how to access them.

exaisle

I certainly wouldn't go anywhere near Revenue....

It's time for you to consult an accountant. Make it clear the kind of budget you have. If an accountant is gaining a new client, they may be willing to give you a bit of discount to get you started. Stick to smaller firms...especially one-man practices whose overheads and hourly rates will be lower (and possibly more flexible).

kate680

Thank you all for your responses. My panic levels have reduced . I have been put in touch with a local accountant and now I await a meeting to seal my financial fate for the immediate future.

fingers crossed.