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Where Taxpayers and Advisers Meet

Accounting period for new partnership

KALA
Posts: 1
Joined: Sat Jan 05, 2019 4:34 pm

Accounting period for new partnership

Postby KALA » Sat Jan 05, 2019 4:38 pm

Hi
We have a partnership, which started on 23.01.2018. We are trying to complete the SA800 for tax year 2017-2018. Our understanding was that the accounting period would start on 23.01.2018 and end on 31.01.2019. When trying to enter this, we get an error message 'accounting period end date entered beyond current tax year end'. Is anyone able to advise us on this please?

bd6759
Posts: 3020
Joined: Sat Feb 01, 2014 3:26 pm

Re: Accounting period for new partnership

Postby bd6759 » Sun Jan 06, 2019 5:04 pm

Hi
We have a partnership, which started on 23.01.2018. We are trying to complete the SA800 for tax year 2017-2018. Our understanding was that the accounting period would start on 23.01.2018 and end on 31.01.2019. When trying to enter this, we get an error message 'accounting period end date entered beyond current tax year end'. Is anyone able to advise us on this please?
It means that the date you are trying to enter is after 5 April 2018 (which is the last day of the 2017-18 tax year). You cannot enter a period of account that ends after the end of the tax year for the return you are trying to complete. That would mean entering 2018-19 income in the in 2017-18 return.

Your accounts for the period to 31/1/2019 will go into a 2018-19 tax return. If you consider that 31/1/2019 has not been reached, and you clearly have not made up any accounts to that date, what figures were you planning on entering in this return anyway?

Why do you think that the accounting period ends on 31/1/2019? The accounting period can end on whatever date you want it to end. You can use 31/1/2019 if you want, but it does not need to be that date. The date to which you draw your account up to is something you ought to have considered when the business started. How else could you plan and forecast?

accutalk
Posts: 13
Joined: Mon Jun 25, 2018 9:19 am

Re: Accounting period for new partnership

Postby accutalk » Tue Feb 12, 2019 11:16 am

Hi
We have a partnership, which started on 23.01.2018. We are trying to complete the SA800 for tax year 2017-2018. Our understanding was that the accounting period would start on 23.01.2018 and end on 31.01.2019. When trying to enter this, we get an error message 'accounting period end date entered beyond current tax year end'. Is anyone able to advise us on this please?
It means that the date you are trying to enter is after 5 April 2018 (which is the last day of the 2017-18 tax year). You cannot enter a period of account that ends after the end of the tax year for the return you are trying to complete. That would mean entering 2018-19 income in the in 2017-18 return.

Your accounts for the period to 31/1/2019 will go into a 2018-19 tax return. If you consider that 31/1/2019 has not been reached, and you clearly have not made up any accounts to that date, what figures were you planning on entering in this return anyway?

Why do you think that the accounting period ends on 31/1/2019? The accounting period can end on whatever date you want it to end. You can use 31/1/2019 if you want, but it does not need to be that date. The date to which you draw your account up to is something you ought to have considered when the business started. How else could you plan and forecast?

SteLacca
Posts: 434
Joined: Fri Aug 07, 2015 2:17 pm

Re: Accounting period for new partnership

Postby SteLacca » Tue Feb 12, 2019 2:53 pm

@bd6759

Surely with the dates quoted the commencement provisions and overlap profits are in point (unless an A/Cs Y/E of 5 April is chosen).

bd6759
Posts: 3020
Joined: Sat Feb 01, 2014 3:26 pm

Re: Accounting period for new partnership

Postby bd6759 » Tue Feb 12, 2019 6:21 pm

@bd6759

Surely with the dates quoted the commencement provisions and overlap profits are in point (unless an A/Cs Y/E of 5 April is chosen).
No. That’s nonsense.


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