Help with Self-assessment tax return

[marrs]

Hello everyone

I sell i few items online
How to fill out second years self assessment from stock left over from first year

I am now filing my 2nd years tax return and have sold stock carried over from the first years tax's return
where is the self-assessment form do i put the first years stock trade price, profits? postage and fees.

 

[faradaykeynes]

generally cost of sales are worked out as follows

Opening Stock + purchases for he year - closing stock

 

[marrs]

Just looked on the hmrc and found out i can adjust/amend the previous tax return which i didn't know i could do. So i will put any items that's sold this year which was stock left over from last year on that.

 

[faradaykeynes]

no not recommended

 

[Walkol]

Just looked on the hmrc and found out i can adjust/amend the previous tax return which i didn't know i could do. So i will put any items that's sold this year which was stock left over from last year on that.

But why? Was last years wrong?

 

[faradaykeynes]

first year stock left over is asset for your business not expense till its sold out in second year, its matching cost with related revenue principle of accounting

 

[marrs]

No i just thought any stock sold this year which was brought last year had to go on the previous return.

 

[faradaykeynes]

would you be submitting and revising tax return for every year then? Rules are laid down for a reason

 

[marrs]

first year stock left over is asset for your business not expense till its sold out in second year, its matching cost with related revenue principle of accounting

oh right it goes on this years return thanks for clearing that up

 

[Scalloway]

where is the self-assessment form do i put the first years stock trade price, profits? postage and fees.

The first year's stock brought forward should be added to this year's purchases. This figure less stock on hand at the end of the second year goes into cost of sales on the return.

 

[Zingly]

Can anyone recommend a book or online tutorial which helps decipher the self-assessment forms?