Very high turnover, huge running costs, truck finance and an O-licence to maintain. Here's how Making Tax Digital for Income Tax applies to HGV owner-operators, and why you're almost certainly in scope now.
MTD for Income Tax is measured on gross turnover before costs. HGV owner-operators run high turnover, so almost all are over £50,000 and in scope now.
Fuel, AdBlue, tyres and maintenance take a large slice of your turnover. The threshold is tested on the gross figure, but recording every cost is what keeps your taxable profit realistic.
Your annual Self Assessment return is replaced by four short quarterly updates and a year-end final declaration, all through recognised software.
Record the truck purchase or finance separately so capital allowances, not a one-off expense, are applied.
Your lorry is a major asset claimed through capital allowances. Record the finance so the right allowance applies.
Fuel, AdBlue, tyres and maintenance are big and deductible. Snap the receipts so your profit is realistic.
Operator licence, tacho and inspections are deductible costs of running legally. Keep them recorded.
Paid by an agency or a direct client, it's all one set of records totalled into a single quarterly update.
Big turnover means big costs to track. Clear Books keeps them recorded from your phone and gives HMRC exactly what MTD requires.
Record your loads and running costs as you go, and send your first quarterly update in minutes.
