Fuel receipts

Hi, I am new to the forum and have a couple of questions about my sole trader accounts for the financial year. First. I am a sole trader and the first 5 months of the last financial year I was using both personal bank account and business account. How do I record entries from the personal bank account onto my income and expenditure. And this then creates a problem matching the business account balance with the bank statements.

Second Question. I was using the family car for some business but never kept mileage tallies. I have petrol receipts from the business account which I have to account for but because I never recorded mileage am i correct in saying I cannot claim any allowance for business use? And like my first question, how should I record these fuel purchases so as to keep the bank balance correct with the statements?

Many thanks.

Answers

  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,443
    Hi Paulio

    How do you record your expenses and income? On a spreadsheet or a bookkeeping software?

    Regarding mileage could you not recreate business miles by looking at your diary (visits to clients, then google address and get the mileage?). You could then claim 45p for the first 10,000 miles and 25p thereafter.

    If you do not have an accountant or tax adviser it may be an idea to get one even if it's just to answer your initial questions. If you keep good records it may not be as expensive as you think to get proper advice.
  • pauliopaulio Registered Posts: 3
    Thanks MarieNoelle for your reply.
    I use a spreadsheet and a paper copy for my accounts. I could, as you suggest, work out the mileage. As for entries of fuel purchases on my spreadsheet, where do I put them a some of them were used from the personal account. Again many thanks.
  • MarieNoelleMarieNoelle Trusted Regular Hampshire/Surrey borderModerator, MAAT, AAT Licensed Accountant Posts: 1,443
    Fuel purchases from your business accounts should go to drawings. They do not form part of your profit and loss account.
  • pauliopaulio Registered Posts: 3
    Thanks
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