Tax Return and Bounceback Loan Repayments

[littlebonzo]

I am a sole trader and took out a bounceback loan. My tax return period contains repayments for the loan, and I'm wondering whether I am supposed to record those repayments on my tax return somewhere. Can anybody tell me please?

 

[Newchodge]

I am a sole trader and took out a bounceback loan. My tax return period contains repayments for the loan, and I'm wondering whether I am supposed to record those repayments on my tax return somewhere. Can anybody tell me please?

Loan repayments are not an expense, any more than a loan is income. Interest payments should, I think, be on your return.

 

[littlebonzo]

Thank you Cyndy, that's very helpful. I did forget to ask that as well, actually - what about the interest charged on the loan repayments? Would that go in the 'Business Expenses' Box 25 which is called 'Interest on bank and other loans'?

 

[Newchodge]

Thank you Cyndy, that's very helpful. I did forget to ask that as well, actually - what about the interest charged on the loan repayments? Would that go in the 'Business Expenses' Box 25 which is called 'Interest on bank and other loans'?

I think so, but I am not an accountant and I haven't seen the SA form for some time!

 

[littlebonzo]

Thanks Cyndy. I'll put it in there - seems like the most logical place to put it Have a lovely weekend.

 

[MyAccountantOnline]

Thank you Cyndy, that's very helpful. I did forget to ask that as well, actually - what about the interest charged on the loan repayments? Would that go in the 'Business Expenses' Box 25 which is called 'Interest on bank and other loans'?

I havent got a tax return in front of me to check the box number (it sounds correct) - certainly if the loan was solely for business purposes you can claim all of the interest as a business expense on the tax return.

 

[littlebonzo]

Thank you Nicola, that's really helpful as well.

 

[Truemanbrown]

Thank you Cyndy, that's very helpful. I did forget to ask that as well, actually - what about the interest charged on the loan repayments? Would that go in the 'Business Expenses' Box 25 which is called 'Interest on bank and other loans'?

If your business income is less than £85,000 you can file a short self-employment section.

On page SES1, Box 20, you would place all of the allowable expenses, including the interest.

 

[littlebonzo]

Turnover is more than £85,000, but thank you for your reply.