Question asked by John Howard 5 months ago
I am a sole trader (I do online maths tuition) and need to start MTD. I want to use clear books, but what do I do about the payments I have received in April - July? Just enter them as history? Also the same re expenses? Thanks in hope!
Hi John,
Yes, you should input these expenses for the current tax year which will include Apr - July. I would recommend reviewing our: Clear Books MTD Income Tax Plan Overview guide
I would recommend setting up bank feeds if you have a high volume of transactions by heading to Dashboard > Bank accounts > Manage bank feeds > Add feed. Once set up, the system will automatically import bank statements up to 4 times a day.
Tommy
Best answerI dont think i need the bank feed - parents pay into the account and I check with my app. Nothing more complicated than that! Is there anything wrong in that simplistic view? Thank you!
with regard to sort of fixed costs like broadband - do i need to enter this each month - or just put in the final figures for the tax return at the end of the year please?
Hi John,
It's completely up to yourself which method you use, if its the bank feed or manual entries. The bank feed can provide more accuracy as it can reduce duplicates or omissions. For the broadband, you will need to input this each month.
Please see our: Comprehensive MTD Income Tax guides
Tommy
Hi John,
Also, for more information, we would also recommend reading HMRC's guidance here: https://www.gov.uk/guidance/use-making-tax-digital-for-income-tax/create-digital-records
Tommy
You must 