Tax return - ClearBooks free vesion

Hi John,

My apologies, I have amended the first link.

Also, for the MTD Tax return for the year end, our Product team are currently finalising the product. This will work in conjunction of the Sole Trader or Property accounts. At the end of the tax year, both your Sole Trader and/ or Property income figures will be automatically consolidated into your MTD Tax Return account, where you can then add your employment income, allowances, and reliefs for the final declaration.

Tommy

Thankyou, Tommy, you have been most helpful.

Hi John,

Yes, that is correct. You will be able to report this at the year end as part of your MTD Tax return via Clear Books.

Tommy

OK, thanks. So am I correct in assuming that other sources of income that do not relate to rents or self-employment, such as bank interest for example, will be reported via your software at the end of the year instead of va a tax return as at present? And similarly reliefs, such as for charitable donations, will be able to be claimed via your software at the end of the year?

Hi John,

1. State Pension and Quarterly Submissions

You do not need to include your State Pension in your quarterly MTD submissions.

What to Submit Quarterly: Only income from self-employment and property needs to be submitted to HMRC during the tax year through your quarterly updates.

Other Income (Including State Pension): All other income sources, which include income from pensions and certain state benefits , are submitted separately as part of your MTD Tax Return at the end of the tax year.

2. Monthly Charity Donations (Gift Aid)

You should not enter your personal charity donations (such as Gift Aid payments) into your property business's expenses in Clear Books. They are handled as part of your personal tax allowances/reliefs, not as a business expense.

Business Expenses Only: The expenses you enter into your Clear Books business are for costs incurred wholly and exclusively for your property business (e.g., insurance, letting agent fees).

Please note: We are not permitted to give tax or financial advice. We can only provide guidance on how to use the Clear Books software to record and submit your figures according to HMRC rules. For specific advice on whether a cost is a legally allowable expense for your business, or how your personal allowances, such as Gift Aid, affect your final tax bill, you must consult with a qualified accountant or HMRC directly.

Tommy

OK, thanks. Two questions:

1. My only sources of income are rents and my state pension. Am I supposed to include the state pension in my quarterly submissions (at present, it appears automatically in my tax return and I do not have to enter it myself unless I disagree with what is there)?

2. I have monthly standing order for charity donations. Do I enter these in my expenses and, if so, under what heading (there does not appear to be one)? If not, how do I get the tax benefits on these?

The first link doesn't seem to work - it just brings me back here. The video only tells me about the quarterly return. Maybe I didn't make myself clear - I meant the annual tax return that I presently submit on the HMRC website.

Thankyou, I'll take a look at that.