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 On savings accounts, how much interest do you have to earn in a year to have to pay Capital Gains taxes?
For example, say you have $5,000 in a 5% interest savings account. Which would be $250 in interest a year. At what amount do you have to pay capital gains tax?...


 Didn't file Taxes in 2008? Where do i go from here?
Yeah i didn't file taxes this year. I was 17-18 last year and i didn't work the full year. But i was working full time for awhile only making around minimum wage. So i dont have a clue as ...


 What bills do Americans pay? What state are you in?
In the UK we pay -

*income tax & ntional insurance (directly from our wages/salaries) graduated from 22% up depending on how much you earn.
*stamp duty on property
*council ...


 The IRS says I owe them more than my net worth, what do I do?
...


 What is a tax return?
i dont understand any of the tax laws. except i have paid it and would like some back if im intitled to it. can some one explain how it all works for a employed worker like me....


 Can an individual open and run two firms or more,in india ?
Are there any sales-tax or income tax implications in such cases ?...


 I got married a few weeks ago and i was wondering how soon i can claim my spouse on my taxes?
He's unemployed and i want to lower my tax ...


 Who can help me to claim, without payin couriers money coz i don't have?
...


 Do we need to pay tax for interests earned from accounts in CITIBANK?
I was told that we do not need to pay interests for accounts in domestic banks. Not sure about it....


 At what age will I be able to retire - I am 55 now and I am note sure if I will get my pension when I am 60?
...


 Home mortgage interest (taxes)?
I have had a mortgage since 2004 and I've never had my mortgage interest deducted from my taxes. Is there a way to go back and have '04 through '07 deducted on one return? Or did I ...


 Do more taxes come out of overtime hours?
I work for a communications company and everyone claims that over-time and double-time hours are taxed at higher rates? I have never taken the time to sit down and run the numbers, so I decided to ...


 2008 Stimulus Tax Rebate i need help?
what do i do? I filed my tax back in January and had them direct deposited. Well do to recent fraud and Identity theft ( I know right a great way to start a year) my bank account is now closed. how ...


 Can you claim an unborn child on your tax return?
My mother in law said that her daughter does this and she should know because she has a ton of kids (she is married and Mormon...will pop them out until she can no longer). Don't you have to ...


 Why do we file income tax if theres no law?
...


 How many of you did not receive the stimulus checks from the gov. because you owed on a student loan?
I was really curious about this one! How many of you heard them say "we don't want people to use this for their bills we want them to go out and use it in the stores and stimulate the ...


 I made 5,028.94 dollars do i need to file taxes?
...


 When you loose children and claim them on your taxes...?
in 06 I had a baby and she passed a month later in 06 when I claimed her on my taxes I thought that I got about $1,000 for having a child and close to $1,000 for her passing away. Now I had the same ...


 How soon can you file for your 2007 tax refund.?
...


 Two jobs what happens about the tax?
Im in full time employment but i want to get a second Job with an agency they told me i have to pay emergency tax permanently is this true?...



dave n deb
As a sole trader, should pension contributions apear on the Balance Sheet or Profit and Loss Statement?
                     
 




Brendan E
Rating
For tax purposes, those who have said that pension contributions form part of your drawings are correct. And your drawings account appears in the balance sheet.

However for internal purposes, when determing how well your business is doing, your drawings are the equivalent of your wages and should be accounted for as a separate Profit and Loss item underneath an account for normal drawings.

Come the end of the year - when filling in your tax return - you add back these two items (drawings and pension) to your net profit to give your taxable profit.

You also need to get a statement from your pension provider at the end of each tax year. This statement should show your gross contributions, and any tax credit, so that you can complete the part of the form which you need to complete to gain tax relief.


Ellis
Rating
neither - these are personal payments and nothing to do with your business. if you have paid them out of the business they should be included in proprietor's drawings


Kevin N
Profit and Loss as it comes under 'Wages' which is a cost to the business that affects your GP.


Onestep downfrom God
Rating
Sorry Foxy!

You don't say if these are your contributions or contributions made on behalf of an employee as part of their remuneration.
If they are, then they are a P & L account charge.
If they are your own contributions then they should be charged to Drawings.


notmarriednochildren
Rating
As Ellis states, it forms part of your drawings from the business. Complete the relevant section of your tax return to obtain relief for pension contributions.


Minnie
If they are your own personal contributions then they are not an allowable expense and so will go to your drawings in the balance sheet.


foxy
Rating
i just know some ex know it all ex accountant/tax inspector TOP CONTRIBUTER is gonna upstage me but as a sole trader in my case..the law changed in about 90/91 and some pensions were claimed as an expense and not profit but when you draw the pension like i did at 50 then you are taxed at the usual rate which last year was 22%

i am in England by the way so may not be the answer you require


i wanna answer questions
i d k


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