Accounting and Tax questions from a new Startup owner

[Sky Walker X]

Hello,
I'm new to this site and looking for some help and guidance on an Accounting & Tax related topic.
I registered my software development business about 4 years ago however it has been dormant ever since, whilst i was building it. Over the course of the past 4 years I did incur expenses for different tech tools and licensing costs etc.... and I kept a list of expenses. Now I am about to launch my product and go live and officially change my business to Active. I have a couple of questions regarding Tax and Accounting, and I'm hoping someone here might be able to help. ( I'm new to all this, so please don't judge).
1. Given my company was dormant for the past 4 years, can I still claim or register my expenses from the past 4 years, and potentially claim towards a tax rebate? If so, is there a time limit?
2. I'm investing my own money in the business and I won't be making any money or profit at the beginning. Could I file my own taxes, even though it's only going to be showing a loss? Or should I get an Accountant? For basic accounting needs (such as mine) how much would an Accountant cost?
3. Anything else I should know but haven't covered above? Perhaps first-hand experience from other business owners?

I truly appreciate everyone's help and input. Thank you!

 

[Lisa Thomas]

If you decide to use an accountant, and don't find one on here, feel free to dm me for a recommendation.

 

[MyAccountantOnline]

Hello,
I'm new to this site and looking for some help and guidance on an Accounting & Tax related topic.
I registered my software development business about 4 years ago however it has been dormant ever since, whilst i was building it. Over the course of the past 4 years I did incur expenses for different tech tools and licensing costs etc.... and I kept a list of expenses. Now I am about to launch my product and go live and officially change my business to Active. I have a couple of questions regarding Tax and Accounting, and I'm hoping someone here might be able to help. ( I'm new to all this, so please don't judge).
1. Given my company was dormant for the past 4 years, can I still claim or register my expenses from the past 4 years, and potentially claim towards a tax rebate? If so, is there a time limit?
2. I'm investing my own money in the business and I won't be making any money or profit at the beginning. Could I file my own taxes, even though it's only going to be showing a loss? Or should I get an Accountant? For basic accounting needs (such as mine) how much would an Accountant cost?
3. Anything else I should know but haven't covered above? Perhaps first-hand experience from other business owners?

I truly appreciate everyone's help and input. Thank you!

Do you have a limited company?

If your company incurred costs they should have been included in the accounts and you'd have losses brought forward if the company hasnt had any income.

You can certainly deal with your own accounts and tax but without the necessary skills, knowledge and experience its very easy to make a costly mistake.

 

[Sky Walker X]

Do you have a limited company?

If your company incurred costs they should have been included in the accounts and you'd have losses brought forward if the company hasnt had any income.

You can certainly deal with your own accounts and tax but without the necessary skills, knowledge and experience its very easy to make a costly mistake.

Thank you for your comment and guidance. As I was building the product, not fully knowing as or when it will actually come to life, I didn't treat it as an actual business. And to be honest, I didn't know I could submit losses if I had zero income. Hence the dormant status.

I paid for hosting fees and other subscriptions out of my own pocket, but now it's all becoming very real and I want to make sure I follow the proper path.

I appreciate your comment, and completely agree. I think it's best if I leave the accounting part to a professional.
Thank you again for your help!

 

[Paul Kelly ICHYB]

I didn't know I could submit losses if I had zero income

And that is a reason that you should have an accountant!

 

[UK Contractor Accountant]

I paid for hosting fees and other subscriptions out of my own pocket,

Were these company costs?

The subscription costs, hosting fees invoices etc were all made out to the company?

 

[MyAccountantOnline]

Thank you for your comment and guidance. As I was building the product, not fully knowing as or when it will actually come to life, I didn't treat it as an actual business. And to be honest, I didn't know I could submit losses if I had zero income. Hence the dormant status.

I paid for hosting fees and other subscriptions out of my own pocket, but now it's all becoming very real and I want to make sure I follow the proper path.

I appreciate your comment, and completely agree. I think it's best if I leave the accounting part to a professional.
Thank you again for your help!

You are very welcome.

It's such a shame you didn't contact an accountant when you started (you aren't alone - many make the same mistake) but I suspect you've already missed some tax savings. Dont make the same mistakes going forward. Do also get some advice on the best business structure for you ie a company or sole trade.