How To Produce Taxi Driver Accounts Plus TAXATION STATEMENTS IN UNDER 2 Hours

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Since nearly all taxi drivers, but certainly not all, have little accounting or bookkeeping knowledge the low the level of expertise required the more desirable this accounts package will be. Data entry basically includes just 3 records, as an excel spreadsheet for taxi receipts; another for taxi expenses plus a further worksheet where assets like a vehicle could be recorded.

Taxi receipts are entered on some excel worksheets within the taxi income work book preset with every day of the financial year. Weekly and monthly totals are added and transferred through the linking system from the taxi bookkeeping sheets to the taxi financial accounts sheet.

Taxi expenses are listed on a series of twelve monthly spreadsheets that have preset columns with appropriate headings for taxi drivers to record office and rental costs, fuel bills, other vehicle costs and licence fees. airport shuttle of each expense is entered on each row and an individual letter used to then analyse the taxi expense to the column required. As with the taxi income sheet the columns are then automatically added which includes a check on data entry accuracy before being used in the taxi driver accounts sheet.

Cash and bank spreadsheets aren’t provided as not required by taxi drivers as taxi drivers need not create a balance sheet.

In addition to entering purchases on the taxi expense sheet the only real other entries required from the taxi driver to make a group of taxi driver accounts would be to also enter vehicle and any assets purchased on the fixed asset spreadsheet. The fixed asset spreadsheet having recently been preset with both depreciation rates and the administrative centre allowances that taxi drivers can claim. The taxi accounts software is then complete.

The financial accounts file contains formulae to make a monthly profit and loss account which includes the taxi capital allowances from the fixed asset schedule.

A distinctive feature is that both mileages covered and vehicle running costs can be entered. The tax rules in the united kingdom state that drivers cannot claim both mileage allowances and vehicle running costs. It has to be one or another and only at the end of the financial year when it becomes clear that is the most tax efficient.

This taxi accounts package compares both mileage cost and the vehicle running cost and automatically selects the most expensive. This ensures the highest costs are selected into the calculation of the net taxable profits and highest cost equals lowest goverment tax bill.

Also in the taxi accounts file can be an excel spreadsheet designed with the same layout, colour codes and box numbers as the inland revenue self assessment tax return. The taxi self assessment tax return is completed automatically by the cabsmart taxi accounts software. No entries are needed leaving the taxi driver only to click print to produce the self assessment tax return.

Finally having calculated the net taxable profit for the entire year the accounting package also has a tax calculator that calculates the number of income tax and national insurance to be paid.

The taxi driver accounts package has been tested many times and the annual receipts and expenses for a full year take approximately 2 to 3 3 hours to enter, and also have been completed in under 2 hours. The finish product is a full set of taxi driver accounts including the self assessment tax return.

Both couriers and van drivers have similar businesses to taxi drivers for the reason that they move items in one place to another similarly in which taxi drivers move folks from one location to another. And due to the similarity running a business activity then this taxi accounting package would be equally ideal for couriers and van drivers.

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