A Complete guide on Self-Assessments Tax Return

What is Self Assessment?

Self Assessment is a system used by HM Revenue and Customs (HMRC) to collect Income Tax. Usually, taxes are taken automatically from wages and pensions, but if you earn money from other sources, you need to tell HMRC by completing a tax return.

Who Needs to Send a Self Assessment Tax Return?

You need to send a Self Assessment tax return if you had any of these in the last tax year (6 April to 5 April):

Self-Employment:
- If you were self-employed and earned over £1,000.
Business Partnership:
- If you were a partner in a business.
High Income:
- If your taxable income was over £150,000 a year.
Capital Gains:
- If you had to pay Capital Gains Tax when selling something that increased in value.
High Income Child Benefit Charge:
- If you had to pay this charge.
Savings and Investments:
If you received more than £10,000 from savings or dividends.
Other Income:
If you had any untaxed income like money from renting out a property, tips, commission, savings, investments, dividends, or foreign income.

How to Do a Self Assessments?

Here’s how to do a Self Assessment in the UK:

Check if You Need to File:

Use HMRC’s online tool to see if you need to file.

Register for Self Assessment:

If you need to file, register with HMRC by October 5th after the end of the tax year you are filing for. You will get a Unique Taxpayer Reference (UTR) number.

Gather Your Information:

Self-employed: Income records and allowable business expenses.
Company directors: P60 and P11D forms.
Landlords: Rental income and expenses.
Other income: Records of untaxed income (investments, dividends, etc.).

Choose Your Filing Method:

Fill in your tax return online through the HMRC website after April 5th. If you can’t file online, request form SA100 from HMRC.

Fill Out Your Return Carefully:

Provide accurate details about your income and allowable deductions using your UTR number, business expenses, income records, and other relevant forms.

File and Pay by the Deadlines:

Online filing deadline: January 31st after the end of the tax year.
Paper filing deadline: October 31st after the end of the tax year.
Payment deadline: January 31st, which includes your tax bill and the first payment on account for the next tax year.