1st client nerves please help

AngieC

Hello All.

I passed and became a full member in August and have been asked by my sister to do her personal taxation for her. The idea is she is self employed and will be paid in full by the agency on a weekly basis and wants me to calculate her NI and income tax, and subsequentely filing her returns.

The problem is this is my first time and I'm not sure how to start and what I need to do.

Please can you help?

Ps: I am only charging a very small amount as this is the first time, therefore believe I will be exempt from registering.

Vonni

Mmm - 'paid weekly by the agency' is a worrying statement - this may not be self employment look at the rules for IR35 - only working for one 'employer' - in this case the 'agency' may create problems.

If your sis has registered as self employed then take her income based on the weekly amounts, before any deductions by the agency for say admin fees or CIS tax - this will form the turnover.

Then calculate her expenses - which should be per receipts and invoices from suppliers or from reasonable explanation or estimates.

Turnover - expenses = profit less capital allowances if applicable - then complete and file the SA return on line - easy!

AngieC

Oh Thank you for your reply it really is appreciate, know what you mean about agency creting problems. Have not gone with this now as she has decided to stick to PAYE.

However looking into getting some 1st time experience any ideas?? Maybe get with an Accountancy practice?

Any advice is really appreciated. :-)smile:

deanshepherd

Working in an accountancy practice to get some experience is a great idea.

AngieC

Thank you, will try and see if there is anything avaliable!