When do I need to submit a Tax Return?
There are numerous circumstances where you’ll need to submit a self-assessment tax return:
You have untaxed income to declare such as income from investments, a rental property or a business;
You’ve sold an asset and have realised a capital gain;
HM Revenue & Customs have written to you to ask that you submit a return;
You or your partner earn over £50,000 and receive Child Benefit;
You are employed and earn over £100,000.
This is not an exhaustive list and if you are concerned over whether or not you need to submit a tax return please get in touch to discuss your circumstances.
If you need to register for self-assessment you’ll need to do so by 5 October following the end of the tax year in which you became liable to register. Late registration can lead to penalties.
The requirement to register and self-assess your taxes is legally yours and HMRC show leniency in only very limited circumstances. Penalties are levied for late registration, late submission of tax returns and late payment of any taxes due; these penalties are levied concurrently. If, for example, you have paid your taxes but not submitted your tax return you will still receive a penalty for not having submitted your tax return.
The Self-Assessment Tax Year
Each self-assessment tax return must cover the period from 6 April to the following 5 April. You will be assessed on all of your income for each tax year and will receive a credit for any taxes already deducted, for example bank interest or Construction Industry Scheme deductions.
I think I should already be registered, what do I do?
It is important that you take pro-active steps to correct your tax position. HMRC will view your case far more leniently if you approach them and make a full disclosure.
In such circumstances you would be well advised to seek professional representation to ensure that your case is put forward in a complete and comprehensive manner likely to mitigate the potential of any penalties.
We have a good track record in avoiding penalties for our clients and we’ve handled cases with taxes of hundreds to hundreds of thousands of pounds at stake and have the expertise to deal with your disclosure.
What can Parkers Accountants and Chartered Tax Advisers do for me?
Using Parkers to handle your personal tax affairs is convenient, efficient and comes with the peace of mind of having a firm of Chartered Accountants and Chartered Tax Advisers handling your affairs and advising you of any potential tax savings.
We can assist if you are already a self-assessment filer, need to register or perhaps have failed to register and need to make a disclosure.
If you'd like to get a head start on compiling the information we require, please complete our checklist.