Payments into bank account from previous tax year
Question asked by Sarah Nar 5 days ago
How do I deal with payments into my linked bank account that occur in April 26 but that are from the previous tax year?
Many thanks
Sarah
Hi Sarah,
If you are on an accruals basis and have included those transactions in last tax year, then, when setting up MTD under Dashboard > MTD for income tax > Once authorised, you need to ensure you select the Accruals basis.
Once selected, you can then head to Dashboard > Create Invoice and recreate those transactions related to last tax year. When explaining the bank transactions, you can then allocate it to the relevant invoice. Your Quarterly updates should then exclude these invoices as they are dated in the previous tax year.
Tommy
You must 