FAQs - Page 3 of 7 - Worthwhile Accountancy

Q: What is the CIS VAT reverse charge?

The CIS VAT reverse charge means that the recipient of certain construction services (the customer) must account for the VAT on those services, rather than the supplier. It applies to VAT-registered businesses within the Construction Industry Scheme. It's designed to combat VAT fraud in the construction sector.

Q: What kind of digital records do I need to keep for MTD?

You need to keep records of your sales, purchases, and a summary of your income and expenses. This must be done using MTD-compatible software or linked digital records. Paper records alone are not enough for MTD.

Q: Can you help if my records are a mess?

Absolutely! This is a common situation. We can help you organise your current records, set up efficient ways to keep books, and even suggest good property accounting software to make sure your future records are neat and follow the rules. This is a core part of our service as accountants for landlords.

Q: How often do I need to file my landlord tax return?

As a landlord, you typically need to file a Self Assessment landlord tax return each year, stating your income and expenses for the tax year (6th April to 5th April). The online filing deadline is 31st January after the end of the tax year.

Q: Should I put my buy-to-let properties into a limited company?

This is a complex choice with significant tax effects. For new buys, owning properties through a limited company can offer corporation tax benefits, especially for Section 24. However, moving existing properties can mean paying Stamp Duty Land Tax and CGT. We give specific advice on accounting for buy-to-let landlords to help you decide if a company is right for you.