Closing and Starting of Tax Years

Introduction

• This is our approach to all articles.
• This article contains useful guides to finishing the tax year 2021/22 for Sole Traders for the period 6 April 2021 (Generally this is taken as 1st April 2021) to 5 April 2022 (Generally taken as 31 March 2022) and
• For Companies to the accounting period ended 31 March 2022.

The Steps

• End of Year Payroll Formalities. (where payroll is run for employees, including Directors).
• Tax Codes to Use from 6 April 2022. (where payroll is run for employees, including Directors).
• In addition, we need to have a dialogue for planning from 1 April 2022 to 31 March 2023.

Business Requirements to 31 March 2022

• The following information to be placed in Dropbox, as soon as possible:
  • A schedule of all outstanding debtors.
  • A schedule of all outstanding creditors.
  • A schedule of all Accruals (i.e. where an expense has been incurred but not invoiced by the supplier, and those who have sent invoices but are paid after 31 March).
  • A schedule of all Prepayments (i.e. where an expense has been incurred and billed for goods and services due after 31 March).
  • Closing Stock figures (no matter where situated, i.e. goods for which invoices have been received).
  • Bank Transactions from 1 April 2021 to 31 March 2022 (if not already provided), in a csv format.
  • Business Credit Card Transactions from 1 April 2021 to 31 March 2022 (if not already provided), in a csv format.
  • Closing Bank Statements as at 31 March 2022 for all business accounts, in a PDF format.
  • Mileage Claims in Boomerang.
  • Expense and Petty Cash Claims in Boomerang.
  • Identify all disbursements in Boomerang, not fully accounted for.
  • All transactions conducted outside the accounting records and where Avar have not been made aware of, e.g:
    • Use of Personal Assets for business.
    • Use of Home as Office.
    • Transfer of Personal Assets to business.
  • Any other transactions that you may believe are tax deductible (if unsure, speak to Avar).
  • All VAT accounting information to this period (where applicable).

Sole Traders Requirements to 5 April 2022

• The following information to be placed in Dropbox, as soon as possible:
  • Business Bank Transactions from 1 April 2021 to 5 April 2022 (if not already provided), in a csv format
  • Business related Credit Card Transactions from 1 April 2021 to 5 April 2022 (if not already provided), in a csv format
  • Mileage Claims in Boomerang.
  • Expense and Petty Cash Claims in Boomerang.
  • Identify all disbursements in Boomerang, not fully accounted for.

Self Assessment Tax Returns

• See Detailed SATR Roadmap for cradle to grave details and instructions.

Useful Link(s)

• Rates and thresholds for employers 2022 to 2023
• Prepare for Making Tax Digital for VAT.
• Employment Allowance
• Increase for 2022/23 Tax Year
• Payroll Process

Frequently Asked Questions