How To Produce Taxi Driver Accounts Plus TAXATION STATEMENTS In Less Than 2 Hours

Since the majority of taxi drivers, but definitely not all, have little accounting or bookkeeping knowledge the low the amount of expertise required the more desirable such an accounts package will undoubtedly be. Data entry basically consists of just 3 records, as an excel spreadsheet for taxi receipts; another for taxi expenses plus a further worksheet in which assets for instance a vehicle can be recorded.

Taxi receipts are entered on a series of excel worksheets within the taxi income work book preset with each 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. The full total of each expense is entered on each row and a single letter used to then analyse the taxi expense to the column required. As with the taxi income sheet the columns are then automatically added with a check up on data entry accuracy before being used in the taxi driver accounts sheet.

Cash and bank spreadsheets are not provided as not necessary by taxi drivers as taxi drivers do not need to create a balance sheet.

As well as entering purchases on the taxi expense sheet the only real other entries required from the taxi driver to produce a group of taxi driver accounts is 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 that includes the taxi capital allowances from the fixed asset schedule.

A unique feature is that both mileages covered and vehicle running costs can be entered. The tax rules in the united kingdom declare that drivers cannot claim both mileage allowances and vehicle running costs. It must be one or the other and only by the end of the financial year when it becomes clear that is the most tax efficient.

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

Also in the taxi accounts file can be an excel spreadsheet made with the same layout, colour codes and box numbers because the inland revenue self assessment tax return. The taxi self assessment tax return is completed automatically by the cabsmart taxi accounts software. Uber are needed leaving the taxi driver and then click print to produce the self assessment tax return.

Finally having calculated the net taxable profit for the year the accounting package also has a tax calculator that calculates the volume 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 end product is a full group of taxi driver accounts like 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 in a similar way where taxi drivers move folks from one location to some other. And because of the similarity in business activity then this taxi accounting package would be equally ideal for couriers and van drivers.

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