This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our Cookie Policy.
Analytics

Tools which collect anonymous data to enable us to see how visitors use our site and how it performs. We use this to improve our products, services and user experience.

Essential

Tools that enable essential services and functionality, including identity verification, service continuity and site security.

Where Taxpayers and Advisers Meet

I am 77 retired and haven't filed a tax return for years!

schnooky
Posts: 2
Joined: Sat Jan 06, 2018 8:31 pm

I am 77 retired and haven't filed a tax return for years!

Postby schnooky » Sat Jan 06, 2018 9:29 pm

Not sure if this is the relevant section, but here goes anyway. Please
tell me if not.

I was forced into Bankruptcy in 2008 and have never really recovered
(financially speaking) I am now 77 in good health and quite active.

Anyway, since 2008 I haven't filed a tax return, probably lazyness & lethargy on my part and
other things going on in my life such as my eldest daughter having cancer (and still has) I
used to run a small printer company from 1990 to 2002 and did pay my taxes and VAT on time.

However, I am now starting to panic as I have decided, I must do something about this
that my conscience says I must do my duty & pay my tax dues + penalties I suppose.
To help the NHS!

I have never registered as a sole trader. I buy & sell stuff on the internet and do other
bits and pieces to supplement my state pension. I also receive a dividend from a company and
now have to pay tax whereas previously the company paid the tax for me.

I am aware I should have advised HMRC that I am doing all this trading. I have never ever been
contacted by HMRC which surprises me.

So, I have got 2 years trading records nearly completed (2015/16 & 2016/17) Do I now go to
a Chartered Accountant and give them all my details and records let them handle the negotiations with
HMRC or is there another way? Should I go straight to the Revenue and put my case to them and
tell them as it is, or?

This is going to cost me a small fortune apart from penalties and back tax, plus
the cost to a Chartered Accountant at £200+ an hour to sort this mess out. That could
run into thousands.....eeks!

My average earnings from 2008 to 2013 were never more £19K a year less expenses would be negative tax, but from
2014 to the present it has increased to £35K a year less my expenses, purchases and allowances.

Sorry for the length of this posting. I would appreciate any input on this.

Chris

GlobalTaxAdviser
Posts: 608
Joined: Fri Dec 05, 2014 1:18 am

Re: I am 77 retired and haven't filed a tax return for years!

Postby GlobalTaxAdviser » Sun Jan 07, 2018 11:17 pm

Hi

Sorry to hear about your troubles

Interestingly lot of people trade on ebay and amazon as a hobby then becomes a fully fledged business and only realise later they are trading and suppose to register for tax

Commendable you now want to file your tax returns as most people would just ignore it.

I have had clients just submitted tax returns in the past going back years and paid tax what is due and HMRC have not even batted an eyelid.

I would just engage a local accountant to make it easier for you.

For Sole Trader tax returns per year probably will cost anything from £200-£400 per return so not quite £200 per hour. I would just get an accountant who will just charge on a fixed basis

There could be penalties and interest for late filing and payment. Though I am sure your accountant can get the penalties quashed

Good luck

GTA

schnooky
Posts: 2
Joined: Sat Jan 06, 2018 8:31 pm

Re: I am 77 retired and haven't filed a tax return for years!

Postby schnooky » Mon Jan 08, 2018 1:29 am

Thank you GTA for your informative reply. I appreciate it.

Would I need to use a ACA ACCA chartered accountant? There appears to
be many accountants that are not chartered.

Finally, I found out that one could make a voluntary disclosure and
after notification and application they allow up to 90 days to prepare, disclose and pay the appropriate
tax.


Thanks again.

GlobalTaxAdviser
Posts: 608
Joined: Fri Dec 05, 2014 1:18 am

Re: I am 77 retired and haven't filed a tax return for years!

Postby GlobalTaxAdviser » Mon Jan 08, 2018 2:09 pm

Hi

Yes I would use a qualified accountant and voluntary disclosure is through using Digital Disclosure Service (DDS)

Kind Regards

GTA


Return to “HMRC Administration, Practices & Methods”