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D
Diane-1957
March 27, 2019
Question

Tax free allowance

  • March 27, 2019
  • 1 reply
  • 0 views

Hello.

 

I use QB Self Employed. Why, in my 'Self Assessment Summary' report, does my Income Tax liability not take account of my tax free allowance? It taxes straight off my net profit.....I have set up my tax profile (with the exception of my Self Assessment Liability from previous year, which was skewed by a CGT liability).

Regards.

Martin 

1 reply

E
EmmaM
March 27, 2019

Hello Diane

 

Are you referring to the personal allowance which you do not have to pay tax on?Which is in the tax profile section,which is usually £11,850(though it can be different)

 

Kind regards

 

Emma

 

D
Diane-1957Author
March 27, 2019

Hello, Emma.

Yes, exactly.  The assessment page totals up my income, subtracts my expenditure total to give the NP, so far so good, but then does not further subtract (or mention at all) the personal allowance before calculating the tax liability. It's not crucial - I still use an accountant to fully verify the figures/tax return but QB is supposed to offer an accurate guide.

 

Regards,

 

Martin (Diane's the wife :) )

E
EmmaM
March 27, 2019

Hello Martin:)

 

The figures you put into the tax profile do impact the Self Assessment section. The figure you put in box 47 for net profit is determined mainly by box 15 and 16. Were you expecting this to impact box 15?

 

Kind regards

 

Emma

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