The UKKO Private Trader service works as follows:
The service creates single entry accounting based on the information provided by the customer. You can send invoices from the service and add expenses to your bookkeeping. In addition, the customer can receive purchase invoices directly to the service and create their own product and customer register.
1. CREATING AN INVOICE: An entrepreneur sends an invoice from the UKKO service to their customer.
2. INVOICE PAID: When the entrepreneur receives a payment from the customer, they mark the invoice as paid in the service. The sale will be reviewed by the UKKO finance team and, once approved, will appear on the entrepreneur's reports (income statement / VAT return).
3. ADDING CASH AND CARD SALES: The entrepreneur attaches a sales report of cash/card sales in the service and marks that it has been paid on the correct payment date. The entrepreneur can also utilize the Zettle by Paypal payment terminal and connect it to the service, in which case sales reports are automatically transferred to the service. The UKKO financial team reviews cash and card sales and, once approved, they will appear on the reports.
4. ENTERING EXPENSES: The entrepreneur adds the expenses incurred from the business to the service and acknowledges that they have been paid on the correct payment date. The UKKO financial team checks the expenses and asks for more information if necessary. Additional information may be required to ensure the tax deductibility of the expenditure.
5. MONTHLY CHECK: In the UKKO system dashboard, the entrepreneur checks the previous month's accounts as complete, when they have added all the month's incomes and expenses to the service and marked them as paid. This is how our financial team knows that there will be no more vouchers for the month and process the month. The month will be checked as complete automatically on 21st of the following month, but you can speed up the accounting process by checking it complete yourself even earlier.
- In order for the process to work in the best possible way, it is advisable for the entrepreneur to describe exactly how the income or expenditure is related to the business, for example: "I bought soil for yard work with sales invoice no. xx"
- All income and expenses for the month should be added to the service and marked as paid by the 21st day of the following month. If there are any incomplete vouchers for a month on the 21st of the following month, these vouchers will be automatically transferred to the next month.
- Once an entry or expenditure has been processed, it can no longer be edited. In this case, the service will display a lock image for that income / expense. Our financial team checks receipts all the time, but sometimes processing can be congested, so don’t be alarmed if invoices don’t show up on reports right away. If necessary, our team will ask for more information about the voucher you are recording. This ensures that the accounts accurately record how transactions relate to your business and that the accounting is done correctly and carefully.
6. VAT PAYMENTS: At the end of the customer's VAT period, the UKKO team will send your VAT return on your behalf to the tax administration. You will receive a VAT invoice and payment instructions by e-mail if you have some tax to pay. VAT may become payable to you, or there may be no charge due to deductions. You will receive detailed information by email in either case.
- The entrepreneur must take care of the prepayment taxes himself. A new entrepreneur is instructed to contact the tax administration when the first month or two of entrepreneurship has passed. In this case, you will start to see from the reports how your profit will look like, and it will be easier to estimate the income for the whole year. According to the income estimate, the tax administration calculates how much prepayment taxes must be paid. See instructions for filing in a pre-tax tax and paying taxes here.
7. TAX RETURN: Your tax return is handled by UKKO Private Trader. At the end of the year, we send the entrepreneur a tax return inquiry asking about related matters such as home office deduction. Fill in the survey carefully in a timely manner and we will take care of your tax return from then on.