What is a Self Assessment tax return?

A Self Assessment tax return is a system used by HM Revenue and Customs (HMRC) in the UK to collect Income Tax. Tax is usually deducted automatically from wages, pensions, and savings, but people and businesses with other income must report it in a tax return.

You need to complete a Self Assessment tax return if you are self-employed, receive significant income from savings or investments, are a director of a company, have income from overseas, or meet other criteria set by HMRC.

The deadline for online submission is January 31st following the end of the tax year. If you are submitting a paper tax return, the deadline is October 31st.

You can submit your Self Assessment tax return online via the HMRC website using the Government Gateway or with approved third-party software. Alternatively, you can file a paper return by the earlier deadline.

If you miss the deadline, you may face a penalty. The penalties can increase the longer you delay submitting your return.

Yes, you can file your Self Assessment tax return as soon as the tax year ends on April 5th. Filing early might help to organize your finances and avoid last-minute stress.

You'll need records of your income, receipts for expenses if you're self-employed, P60s, P45s, and other documents related to your financial situation for the tax year in question.

Yes, you can correct a mistake on your Self Assessment tax return within 12 months of the January 31st deadline.

You can register for Self Assessment online through the HMRC website. You will need to provide details of your income and apply for a Unique Taxpayer Reference (UTR) if you don’t already have one.

If you are self-employed, you can claim expenses that are wholly, exclusively, and necessarily incurred in running your business. Common claims include travel, office costs, stock, and utility bills.

A UTR number is a 10-digit code unique to you or your business and is used by HMRC to identify your tax records. You are issued this when you register for Self Assessment.

HMRC may send a reminder letter to individuals who are required to submit a Self Assessment return but have not yet done so. This helps ensure compliance and avoid penalties.

Yes, penalties and interest may be applied if you do not pay the tax you owe by the payment deadline, which is the same as the Self Assessment filing deadline: January 31st.

Various online tools and software approved by HMRC can assist with the preparation and submission of your Self Assessment tax return. These tools can help track expenses, income, and expedite the filing process.

PAYE (Pay As You Earn) is a system where tax is deducted from your wages or pension before you receive them, whereas Self Assessment is used to declare untaxed income on which tax is still due.

Yes, partnerships must file a partnership tax return to report income and expenses. Each partner, in turn, must also file their own Self Assessment tax return.

Yes, if your circumstances require it. You should be notified by HMRC if you need to submit again in subsequent years, but it's your responsibility to determine if your situation still fits the criteria.

The UK tax year runs from April 6th to April 5th the following year. Self Assessment tax returns must report activity in this period.

HMRC offers guidance through their website and helpline. Additionally, accountants and tax advisors can provide personal assistance.

After you submit your Self Assessment tax return, HMRC will calculate your tax bill. You can view this calculation through your online account, which includes information on any tax paid and outstanding amounts.