Skip to main content

This is a new service – your feedback will help us to improve it.

Posted Sat, 07 Sep 2024 08:11:46 GMT by Frank
I need to clarify whether I pay tax on income for date the money was paid by my customer or when the money was cleared into my bank account. I use Stripe as my payment gateway and I always receive the money 2 to 4 working days after my customer made the payment. So if a customer paid me £75 on 04 April 2024, and I don't receive the £73.37 payment in my bank account until 07 April 2024, do I include the £75 in my 2023-2024 tax returns or do I add it to my 2024.2025 tax returns. I read that either way is acceptable, providing I consistently report it the same way every year. I just need to confirm. Thank you, Frank
Posted Fri, 13 Sep 2024 10:46:36 GMT by HMRC Admin 25 Response
Hi Frank,
For cash basis purposes, you use the date that the money goes into or comes out of your account.
Please see more guidance here:
Cash basis
Thank you. 
 
Posted Fri, 13 Sep 2024 15:16:38 GMT by Frank
Thanks much. Enjoy your weekend. Frank

You must be signed in to post in this forum.