…The credit terms we give are 30 days from the end of month (so invoice date 15/6 is due on 31/7). What sales figure, debtor figure and number of days should I use for the calculation?
Assuming your financial year starts on 1 April and the calculation is made at 31 July, the position is as follows:
Much depends on the circumstances and why the asset had not been recorded.
Goods move between member states in free circulation unless there is a Customs & Excise (HMCE) document stating that the goods are moving under HMCE control in duty suspension. Goods moving under duty suspension have to be declared to HMCE at point of arrival in UK and any import duty and VAT will be due to be paid.
This is a complex subject, so this won’t be a comprehensive answer. However, the first thing to consider is that expenditure is only allowable as a deduction in calculating Schedule D profits if it has been incurred wholly and exclusively for the purpose of the trade (Case 1) or profession or vocation (Case 11).
…If the majority of miles are business miles, is it best to show the car as an asset and declare it on the P11D or for the partner to charge mileage allowance and count the car purchase as a loan. If you could assist it would be greatly appreciated.
…I understand what the concepts are but can’t think of an example where they would clash.
…I expect shortly to be involved in payroll and feel that it is important that I fully understand this subject. Can you help?
‘Value for money’ is a term that sometimes causes problems for although widely used, it is not always understood. In essence it is composed of three parts – Economy, Efficiency and Effectiveness.
I am having a little difficulty myself regarding the term ‘separate valuation’, but think it might relate to the valuing of intangible assets such as trademarks, goodwill and so on, as separate from other shares, buildings and other assets.