As 31st January is approaching, people in the UK will have at their back of minds to submit the self assessment tax returns to HMRC.
What is a Self Assessment Tax Return
Self assessment is a way to declare and submit your income and expenses for the year to HMRC in the United Kingdom. The relevant tax year is from 6th April 2018 to 5th April 2019. You can do it online by going to HMRC and making a personal tax account or you can hire an accountant to submit your tax return (known as a SA100) professionally.
Who Should Register Under Self Assessment with HMRC
- Anyone who is doing own business or working for themselves (in other words self employed), should register with HMRC for self assessment. This does not include you if you are a salaried person with no other income.
- partner in a business partnership
- The directors of a company
- sole trader or self employed
- CIS registered persons
How Can We at Your Tax Help Accountants Assist You
We, at Your Tax Help Accountants, can provide you with free tax advise and professional help in submitting your tax return on time. We need the important information. If we get all the necessary information on time, we can submit the tax return within two working days, but, don’t delay. Better to get it done sooner rather than later.
List of documents we need to proceed with your tax return:
- A photo ID copy (it can be your passport or driving license)
- A utility bill copy in your name with your address
- Bank statements for the relevant year
- Details of your income and expenses during the year from all sources
- Salary income details (P60 or P45 received from your employer and/or payslips)
- Details of any rental income and related expenses
- UTR (Unique Taxpayer) number and NI number
Failure to Submit a Tax Return on Time
If you are unable to submit the tax return till the deadline, you will get a £100 penalty straight away from HMRC, and it can increase if return is not submitted for extended period.
Tax Payable on Account
This is relatively new concept in self assessment. HMRC requires that persons filling the tax return should pay their next year tax payable on account based on the current year income. It will be paid in two installments. So, for 2018-19, if your tax payable is £5,000 tax payable on account for 2019-20 will be £2,500 payable by due date of 31-01-2020 and balance amount to be paid by 31-07-2020. In this case, tax payable to HMRC before 31st January 2020 will £5,000+£2,500=£7,500
The payment on account does not apply to individuals who have their 80% of income through PAYE.
It is a good idea to consult a tax professional, or just search “accountant near me” in google and you can easily find us. Even, if you based outside of London, we can very easily collaborate online. Contact us today at email@example.com or call us at 020 8050 4564.
January 2020 Offer: Self Assessment Income Tax Return submission to HMRC starting from £99 only. Contact us for more information