UK Need some help ASAP plz

[MK_Dizzle]

Hi

My mind is blown and I really would appreciate some help. I currently passed my degree and haven't been able to gather any experience and have enrolled onto an AAT level 4 course. The thing is my friend owns a golf balling business and I've said I'd help him with his books and tax returns. He gave me a shoe box full of receipts and I have organised them into months just don't know what my next step would be. He currently needs to submit a tax return for the 2011-2012 year and I think I could do it just as this is my first experience in the field and good experience I don't want to pass it up. Any help would be much appreciated.

Thanks.

 

[adrian sanchez]

Hello,

You need to categorise all the income and expenditure into separate headings you will then have totals for each category. You can then use these totals to fill in your tax return.

Adrian

 

[MK_Dizzle]

Thanks I've done that.

The business breaks even with all of the retained earnings or excess profits he has at the time buying golf balls from suppliers to resell with the ones he collects. I'm just having trouble with capital allowances. I know about allowed expenses etc just abit daunting doing this for real and not in the class room.

 

[MK_Dizzle]

No sorry it throws me on the tax return form when it says van or machinery capital allowances because I've already took fuel, insurance and other associated costs off the allowable expenses. Also if he pays himself a wage is that an allowable expense? He obviously like I said breaks even and probably does that to avoid paying tax