receipts to include in self assessment?

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    receipts to include in self assessment?

    Hi all,
    Ive got a bunch of receipts going back to the beginning of 2012.
    Some of the receipts are faded beyond being readable and I have a lot of them that are for materials purchased, however i purchased using someone elses trade account using cash..
    What can I do about faded receipts and is there any chance that the HMRC would accept receipts that Ive made through another persons trade account?
    Can anyone advise
    Thanks
    legepe

    #2
    It's a business, don't pay cash and don't ever use someone else's account (the trader should have billed you*).

    You make the claim based on what you paid out.
    It would be difficult if HMRC ask you to prove the transactions, but chances are they won't.

    *If the trader is VAT registered, that would probably be VAT fraud if they claimed the VAT back.
    When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
    Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

    Comment


      #3
      You can I understand revise your previously submitted SA return. See
      https://www.gov.uk/self-assessment-t...ns/corrections
      Write to HMRC

      Write to HMRC if you need to make a change to your tax return from the 2014 to 2015 tax year or earlier.

      Include in your letter:
      • the tax year you’re correcting
      • why you think you’ve paid too much or little tax
      • how much you think you’ve over or underpaid

      You can claim a refund up to 4 years after the end of the tax year it relates to. If you’re making a claim, also include in your letter:
      • that you’re making a claim for ‘overpayment relief’
      • proof that you’d paid tax through Self Assessment for the relevant period
      • how you want to be repaid
      • that you haven’t previously tried to claim back this refund
      • a signed declaration saying that the details you’ve given are correct and complete to the best of your knowledge
      • Receipts in someone else's name? Sounds well dodgy..
      I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

      Comment


        #4
        Receipts in someone else's name are not your receipts. You have legal obligation to keep your receipts for atleast 6 years so get proper receipts issued by the supplier. Faded receipts are no use for proving your allowable expenses to claim against rental income..

        Comment


          #5
          Thanks guys
          I was guessing that the receipts in another persons account would not be ok..!
          Regarding back dating the accounts: I was self employed from tax year ending 2012 up to present day, and all is ok with that.
          However, I bought my first buy to let property in 2014 and didn't realize many of my cost for it were tax deductible.
          I was simply going to amend my self assessment for tax year 15-16 to include the loss incurred from the year 14-15 which would then be partly carried forward 16-17. I would include an explanation in the self assessment form where it asks for it because the loss would be greater than any profit for year 15-16
          Hope im making sense.. your comments are very welcome
          Thanks
          legepe

          Comment


            #6
            You can write a letter (with photo copies of all bills you want to claim as expenses) to your Tax Office and ask for amendment to previous years tax returns.

            Comment


              #7
              I can do this... Obviously, I will not include receipts that were received using another persons trade account as this would be a waste of time... live and learn the hard way sometimes..! I did buy a van which was virtually 100% use for the property.. which I can prove purchase.. however, going through receipts I never kept anything for fuel.. I have however recorded when fuel was purchased.. can i claim this..?

              Comment


                #8
                "Virtually 100%" is not 100% and isn't going to be allowable.
                You can claim a mileage allowance if you kept mileage records.

                What you really need is an accountant, though.
                When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
                Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

                Comment


                  #9
                  I understand that, I would declare ie 5% for personal use within the self assessment which would be more than enough.. the mileage I could get also if need be.
                  The other problem that i have is that i havent kept all my receipts for purchases.. a lot of these ive used paypal for payments.. however, there is no way of reproducing the receipts without going back to the merchants from whom I originally got the items..!
                  Within paypal i can print a detailed description of the item with date, merchant, price, etc.. but it would not be an actual invoice.
                  If I were to print off these then use a bank statement to verify the payments would this be just as acceptable for hmrc?

                  Comment


                    #10
                    Originally posted by legepe View Post
                    Within paypal i can print a detailed description of the item with date, merchant, price, etc.. but it would not be an actual invoice.
                    Don't you have a copy of the actual order in your email archives?

                    Comment


                      #11
                      Originally posted by legepe View Post
                      I understand that, I would declare ie 5% for personal use within the self assessment which would be more than enough..
                      No, you can't do that.
                      This is why I think you need to use an accountant - the rule for allowable expenses for a landlord is that they are "wholly and exclusively" incurred for the business, so 5% private use fails that test - which makes the entire expense disallowed.

                      You can claim mileage for journeys in a vehicle you own that are wholly and exclusively for the business, which again, means that no element of the journey was for personal benefit.
                      Proving that part of a journey wasn't exclusively for business is quite tricky.

                      The requirement for invoices/receipts only arises if HMRC ask you to prove the expenses that you claim to have incurred.
                      They would regard the lack of invoices or receipts as odd, but might be prepared to accept credit card or paypal receipts.

                      HMRC seem more concerned with people who don't pay tax who should, rather than people paying tax who regularly submit reasonably standard looking returns.
                      When I post, I am expressing an opinion - feel free to disagree, I have been wrong before.
                      Please don't act on my suggestions without checking with a grown-up (ideally some kind of expert).

                      Comment


                        #12
                        The orders are there in my email account... So this coupled with a bank statement should be good enough proof of purchase, i guess...

                        Comment


                          #13
                          jpkeates,

                          Ive left things a little late for an accountant to take this on at such a late stage.. with the van.. its was purchased 100% for business use.. I have had other vehicles to use for private use.. the only reason I was saying 5% could be in case I used it once or twice to run to the shops.. but I don't think i ever did..
                          I do need an accountant though...

                          Comment


                            #14
                            I bought the van back in 2014 for my first property development.. which took me around 7 months to complete.. I then kept the van and only insured it and taxed it when I purchased my third property. used it for my forth... and now im using it for my 5th. I dont use it for personal use.. Is there any other reason I cannot put this down fully as expenses? I understand there is a 7 year rule that applies to any new start up business that cost from before and at the beginning of the business can be claimed within the first 7 years.. I would think that this rule would apply to property developments.. No?
                            Also, all other expenses that I incurred in 2014-2015 would be ok too.. I was simply very ignorant and did not understand at the time what could and could not be claimed for against income tax

                            Comment


                              #15
                              You only started buy to let in 2014 yet want to claim receipts from 2012?

                              Why would you think that is either fair or legal, please?
                              I am legally unqualified: If you need to rely on advice check it with a suitable authority - eg a solicitor specialising in landlord/tenant law...

                              Comment

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