2010 - 2011 tax year end date

[Rookery]

A simple question from me, doing my own books for the very first time. I'm doing my accounts for 2010 - 2011. Did the tax year end on Sunday 3rd April 11, Monday 4th April 11 or Tuesday 5th April 11? Or some other date? Thanks in advance.

 

[bdw]

5th April.

See http://www.hmrc.gov.uk/agents/tax-deadlines.pdf

.

 

[Rookery]

Thanks. So any transactions recorded on 5th April 2011 relate to the tax year 2010 - 2011?

 

[elaine@cheapaccounting]

You need to work on an accruals basis - read the notes to your self assessment.

You include sales to to 05/04/11 even if you have not been paid and costs to 05/04/11 even if not paid or an invoice received from a supplier.

 

[Rookery]

Thanks. very much.

 

[Truemanbrown]

Also remember that as well as accruing for costs relating to costs relating to the period under review, you should also account for prepaid expenses. For example, if you had been invoiced rent, on 31st March 2011, for the period 1st April 2011 to 30th June 2011, the rent for the period 6th april 2011 to 30th June 2011 should be taken out of this year's accounts and placed in the following years accounts.

With regard the accounting date, given that this is the first set of accounts for the business, you can choose your own accounting date.

You do not just have to pick the 5th April!!!