Your questions, answered.

At Lumina Bookkeeping, we help small to medium businesses take the stress out of managing their finances so you can focus on running and growing your business.

We can:

• Organise and process your bank statements, invoices, and receipts.

• Prepare and file VAT returns on time.

• Liaise directly with your accountant on your behalf.

• Provide clear monthly reports (Profit & Loss, Balance Sheet, Cashflow) to support decision-making and business growth.

We work with Xero, one of the leading cloud-based accounting systems trusted by thousands of businesses.

Benefits of Xero include:

• Cloud-based & secure – access your accounts anytime, anywhere.

• Easy migration – transfer data seamlessly from other systems, even Excel.

• Mobile app – check balances and manage accounts on the go.

• Smart receipt capture – snap and upload receipts instantly.

• Real-time bank feeds – daily automatic imports of transactions.

• Collaboration-friendly – both you and your accountant/bookkeeper can access the same data instantly.

It’s important to know the distinction:

• Bookkeeping – managing daily financial records: invoices, receipts, bank reconciliations, and VAT returns.

• Accounting – interpreting those records, preparing year-end accounts, and providing tax advice.

At Lumina Bookkeeping, we:

• Handle your day-to-day bookkeeping.

• Submit VAT returns and highlight possible savings.

• Liaise with your accountant to prepare year-end submissions.

• Keep your accounts ready for Making Tax Digital (MTD).

👉 We leave accruals, prepayments, depreciation, and tax advice to accountants—ensuring you get the best of both worlds. By working closely with your accountant, we may even help reduce your accountancy bill.

We believe in fair, transparent pricing. With us, you’ll always know what you’re paying for:

• We don’t charge by the hour: if we’re slower, you don’t pay extra.

• If workload decreases, your fee decreases too.

• If scope increases, we’ll re-price fairly and always give you 15 days notice in advance.

👉 No surprises, just honest pricing.

Making Tax Digital (MTD) is a UK government initiative to modernise the tax system by requiring businesses and individuals to keep digital records and submit updates using compatible software.

Timeline:

• April 2026 – applies to self-employed and landlords earning £50,000+.

• April 2027 – expands to those earning £30,000+.

• April 2028 – expands to those earning £20,000+.

What this means for you: If you’re a sole trader or landlord above the threshold, you must:

• Keep records digitally.

• Use MTD-compatible software (like Xero).

• Submit quarterly updates and annual summaries to HMRC.

👉 Preparing early avoids stress later. Xero is already MTD-compliant.

Switching to digital bookkeeping doesn’t just keep you compliant, it makes business life easier.

Benefits include:

• Real-time view of your finances anytime, anywhere.

• Secure online storage—no manual backups needed.

• Daily automatic bank transaction imports.

• Quick photo uploads for receipts and invoices.

• Instant insights into cashflow, debts, payments, and bank balances.

Yes! Submitting VAT returns isn’t always straightforward—even with online software. Mistakes are common, and knowing when you can (and can’t) claim VAT is essential.

For example:

• Can you claim VAT on meals?

• Can you claim VAT on train fares?

• Can you claim VAT on utility bills?

If you’re unsure, you shouldn’t submit your VAT return without it being checked.

At Lumina Bookkeeping, we make sure your VAT returns are accurate. Even if you’re already using cloud software, we can review your VAT before submission. You might even discover you’re due a refund.

No, we don’t provide tax advice. Our focus is on bookkeeping, VAT returns, and preparing your records for your accountant. We’ll highlight areas where you may save money and make sure everything is ready for your accountant to file year-end submissions and tax returns.

We work primarily remotely, which allows us to support businesses anywhere in the UK. Using cloud-based tools like Xero, we can collaborate with you and your accountant securely and in real time.

Yes, by keeping your books accurate, organised, and up to date, we save your accountant time when preparing year-end accounts. This often reduces the hours they need to spend, which can lower your overall bill.