JB Accounts

21/07/2026

: Tax Code

Your tax code is a short combination of numbers and letters issued by HMRC. It tells your employer or pension provider how much of your income is tax-free before they start deducting Income Tax from your wages.

The most common tax code in 2026/27 is 1257L. The numbers represent your Personal Allowance of £12,570 with the last digit removed. The letter tells your employer how to apply your tax.

Your code can change for a number of reasons, including starting a new job, receiving a benefit such as a company car, having more than one income source, or HMRC collecting underpaid tax from a previous year.

If your code is wrong, you could be paying too much or too little tax without knowing. You can check yours on your payslip, your P60, or through your personal tax account on GOV.UK or the HMRC app.

Not sure whether your tax code looks right? Give me a call or message me via WhatsApp on 01726 932182.

20/07/2026

Back in May I was at Accountex, the UK's biggest event for accountants and bookkeepers, where hundreds of companies come together to show off new tools and talk about where the industry is heading.

While I was there, I sat down with Amy Hancock FCCA, better known as , for a chat as part of the Ask the Accountant Podcast Network's Pitstop Podcast. We covered what Accountex is like, what I love (and don't love) about working in this industry, the piece of tech that has made the biggest difference to how I work, and where I stand on AI in accountancy. I also had a go at Not Top Trumps, trying to guess a mystery card using nothing but yes or no questions.

The episode is now on YouTube if you fancy getting to know me a bit better and hearing my honest take on the industry.

Watch it here: https://youtu.be/X5RnJeJsrrU

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Jennifer Burnett joins Amy Hancock from the Ask the Accountant Podc...

14/07/2026

: PAYE

PAYE stands for Pay As You Earn. It is the system HMRC uses to collect Income Tax and National Insurance from your wages before they are paid to you.

If you are employed, your employer works out what you owe each pay period, takes it from your wages, and pays it straight to HMRC. You receive what is left. Because it all happens automatically in the background, many people pay tax through PAYE for years without ever really understanding it.

HMRC issues each employee a tax code, which is used to work out how much of your income is tax-free. If your tax code is wrong, you could end up paying too much or too little without realising.

If you are self-employed, you do not use PAYE. You pay your tax through Self Assessment instead. It is also possible to be on both at the same time if you have employment income alongside self-employment income.

Not sure whether your tax is being collected correctly? Message me via WhatsApp on 01726 932182 or give me a call.

07/07/2026

: Allowable Expenses

Allowable expenses are the costs of running your business that HMRC lets you deduct from your income before working out how much tax you owe. The more you can legitimately claim, the lower your taxable profit and the lower your tax bill.

To qualify, an expense has to be wholly and exclusively for your business. Your work phone, business insurance, accountancy fees, travel to client meetings, and office supplies would all be examples. Personal costs, or anything with a mix of personal and business use, need to be handled carefully.

You do not need to attach receipts to your tax return, but you do need to hold on to them in case HMRC ever asks.

Not sure whether something counts? That is exactly the kind of thing I can help with. Message me via WhatsApp on 01726 932182 or give me a call.

23/06/2026

: UTR

A UTR (Unique Taxpayer Reference) is a 10 digit number that HMRC gives you when you register for Self Assessment. You will need it every time you file a tax return or get in touch with HMRC about your tax affairs.

It is different from your National Insurance number, so do not get the two mixed up.

If you cannot find yours, check your HMRC welcome letter, a previous tax return, your personal tax account, or the HMRC app. It might be labelled "tax reference" or "UTR" rather than spelled out in full.

Once HMRC issues your UTR, it stays with you for life, so it is well worth keeping a note of it somewhere safe.

Got a question about your own UTR? Message me via WhatsApp on 01726 932182 or give me a call, I am always happy to help.

17/06/2026

Today I went to the Harbour Hotel Fowey for a Cornwall Business Show exhibitor networking event.

The hotel overlooks the river but the foggy weather meant no nice views. Pictures show what I could see vs what Google Maps says I should have been able to.

16/06/2026

: Sole Trader

This week I am translating a term that comes up constantly, especially if you are just starting out in self-employment.

Sole trader is the legal term for someone who runs a business as an individual. You do not need to register with Companies House or do anything formal to become one. You just need to register as self-employed with HMRC, and in most cases you become a sole trader automatically when you start working for yourself.

The main thing to be aware of is that there is no legal separation between you and your business. If the business has debts, you are personally responsible for them. That is the key difference between a sole trader and a limited company.

It does not limit what you can earn or whether you can take on staff. It is simply a description of how your business is set up legally.

If you are not sure which structure applies to you, feel free to drop a question in the comments.

09/06/2026

6th April. It is not a date that means much to most people, but if you are self-employed it is effectively your new year's day.

: The Tax Year

The tax year does not follow the calendar year. It runs from 6th April one year to 5th April the next. So when HMRC talks about the 2025/26 tax year, they mean 6th April 2025 to 5th April 2026.

This catches a lot of people out when they are new to self-employment. Your tax return covers income earned within that April to April window, not the January to December year you are probably used to thinking in.

The filing and payment deadline is 31st January following the end of the tax year. So for the 2025/26 tax year, that deadline is 31st January 2027.

Once you know the pattern it becomes second nature, but it is one of those things that nobody thinks to explain until the confusion has already set in.

Drop a question in the comments if you want to know more, or let me know what term you would like me to translate next week.

06/06/2026

📢 **Attention traders affected by the Royal Cornwall Show cancellation**

We know how much hard work, preparation, and investment goes into getting ready for an event of this size, so we're incredibly sorry to hear about today's cancellation.

If you have stock ready to sell and are looking for an opportunity to trade this weekend, we'd love to help if we can.

We have a few spaces available tomorrow (**7th June**) at the **Illogan Food & Craft Market**. We can accommodate a couple of traders indoors, and we have plenty of room outside for gazebos.

If you'd like to join us, please get in touch as soon as possible. We'd be delighted to support fellow traders and help you turn a difficult situation into a positive trading day.

📩 Message us directly for details and availability.

🙏 Please share this post with any traders who may have been affected by the Royal Cornwall Show cancellation.

02/06/2026

A lot of people file their Self Assessment in January, breathe a sigh of relief, and then get a shock when HMRC asks for nearly half as much again on top. Here is why that happens.

: Payments on Account

When your tax bill for the year is over £1,000, HMRC does not just collect what you owe. They also ask you to pay towards next year's bill at the same time, based on the assumption that your income will be similar.

This advance payment is split into two instalments. The first is due on 31st January alongside your existing tax bill. The second is due on 31st July.

So in that first January, you could find yourself paying up to 150% of your tax bill in one go. It is not a penalty or a mistake. It is just the way the system works, and it catches a lot of people completely off guard.

If your income drops in the following year, you can apply to reduce your Payments on Account. Worth talking to your accountant about before January comes around.

Drop a question in the comments if you want to know more, or let me know what term you would like me to translate next week.