It's that time again: to file your Self Assessment tax return
With the end of the financial year having just passed on 5 April, it is now possible to submit your Self Assessment tax return (SA100) for the tax year 6.4.18-5.4.19. This can be done on paper, or online and involves submitting a record of your income and expenditure to HMRC for them to calculate the amount of tax you owe.
When completing your tax return, it is important to record everything. You can often reduce your tax liability by claiming for a wide range of business expenses, such as utilities if you worked from home, education and training costs or subscriptions to publications.
Who should submit a Self Assessment tax return?
There are a number of reasons why a taxpayer needs to complete a Self Assessment return. This includes being self-employed, a company director, having an annual income over £100,000 and/or have income from savings, investment or property.
Taxpayers that need to complete a Self Assessment return for the first time, should inform HMRC as soon as possible. The latest date that HMRC should be notified is by 5 October following the end of the tax year for which a Self Assessment return needs to be filed. HMRC publishes a list of taxpayers who would usually be required to submit a Self Assessment return. The list includes:
Taxpayers who had £2,500 or more in untaxed income;
Those with savings or investment income of £10,000 or more before tax;
Taxpayers who made profits from selling things like shares, a second home or other chargeable assets and need to pay Capital Gains Tax;
Company directors – unless it was for a non-profit organisation (such as a charity) and you didn’t get any pay or benefits, like a company car;
Taxpayers whose income (or that of their partner’s) was over £50,000 and one of you claimed Child Benefit;
Taxpayers who had income from abroad that they needed to pay tax on;
Taxpayers who lived abroad and had a UK income;
Those whose income was over £100,000.
If you are unsure whether you need to submit a Self Assessment tax return, please get in touch and we can help you understand whether you need to submit a tax return. We can also help to reduce your tax liability when it comes to completing and submitting the Self Assessment.