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Handlez
November 29, 2020
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Expenses before I went self employed

  • November 29, 2020
  • 1 reply
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Hi all. First of all I'm sorry if this is in the wrong category! Secondly, I'm aware this is most probably a question for an accountant but I thought I'd try my luck here, as I can't seem to find anything on the HMRC website..

 

I have recently gone self employed (beginning of Oct) and I started using Quickbooks Self Employed today. I've connected my bank account, excluded all transactions prior to the beginning of October and sorted the rest between personal and business. However, back in April, May and July this year I purchased a desk, chair and computer in preparation of becoming self employed. As these items are solely for use of my business (I'm a graphic designer), I've put those transactions down as office supplies/equipment. They are the only 3 transactions for the business before October. Have I done the right thing? Or does it now look like I've started working for myself back in April as that's when I purchased my computer? Sorry if it's such an obvious or silly question but I'm completely new to this.

Thanks in advance!

Best answer by JonpriL

Hello @Handlez,

 

Yes, you can use the Office Supplies or Equipment expenses as the category of your transactions. This is because the items you purchased are the assets you're about to use for your self-employed business.

 

With this, here's an article you can read to learn more about the categories used for your transactions:  About SA103F Categories.

 

But if you're still in doubt, I'd recommend contacting the HMRC so you can confirm what is the best category you can use for the items you purchased.

 

Additionally, I've also included this helpful article for the answers to the commonly asked questions while working with your self-employed business: QuickBooks Self-Employed Overview.

 

Keep me posted in the comments if you have any other questions. I'll be here to help. Stay safe!

1 reply

J
JonpriLAnswer
November 29, 2020

Hello @Handlez,

 

Yes, you can use the Office Supplies or Equipment expenses as the category of your transactions. This is because the items you purchased are the assets you're about to use for your self-employed business.

 

With this, here's an article you can read to learn more about the categories used for your transactions:  About SA103F Categories.

 

But if you're still in doubt, I'd recommend contacting the HMRC so you can confirm what is the best category you can use for the items you purchased.

 

Additionally, I've also included this helpful article for the answers to the commonly asked questions while working with your self-employed business: QuickBooks Self-Employed Overview.

 

Keep me posted in the comments if you have any other questions. I'll be here to help. Stay safe!

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