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Private Pensions
I’m sorry if this question ends up being posted twice, but I can’t see that it appeared the first time. I’m looking for guidance around entering private pension information on a tax return - boxes 4.2 and 4.4 on the short paper return. There are two small private pensions - one has tax deducted from it and the other usually has zero tax deducted, but this year has received a tax refund. I can see on the notes for the long tax return that if I was just entering the second pension, I’d enter the tax refund as a minus figure in the tax box (box 12, which is presumably the same as box 4.4 on the short return), but as there’s two pensions I’m wondering if I enter the result of pension 1 tax deducted less pension 2 tax refund in that box? ie if pension 1 had 800 tax deducted and pension 2 received a 100 tax refund, it would be correct to enter 700 in box 4.4? Thank you for your help. -
Cash Basis Accounts
Hello, I need to create accounts for a hobby business that needs to declare earnings for the last tax year due to exceeding the trading allowance. I understand that with cash basis we enter receipts/expenses when we actually receive/pay the money rather than when we invoice or are invoiced for payments, but have a few questions about the smaller details. 1. I think I understand, from asking on Twitter, that with eBay sales we enter the full price of the sale as income and then the fees as an expense, on the day the payment reaches our bank account, not the day the sale takes place on eBay. Is this correct? 2. Re the above, presumably this would mean that if eBay held funds for any reason, we wouldn’t enter the sales in our accounts until they released the funds? 3. If we make purchases through eBay or elsewhere by debit/credit card or PayPal, does this mean we enter the cost on the date it shows as cleared through our bank account, rather than the date we actually made the payment (there’s usually 2-3 days processing between the two dates)? 4. Re the above how would this work with any payments credited to our PayPal balance - would we use the date the payment is received there, or the date we transferred the money into our bank account? Obviously making sure any balance was transferred within a reasonable timescale. Thank you very much for your help, Shula