Filing your tax return can be a daunting task, but understanding the process is crucial to staying compliant with UK tax regulations. Whether you’re self-employed, have multiple sources of income, or just need to navigate the annual tax maze, this guide will provide everything you need to know to complete your self-assessment tax return accurately and on time.
What is a Tax Return?
A tax return is a form submitted to HM Revenue and Customs (HMRC), detailing your income, expenses, and other financial information. The purpose is to calculate how much tax you owe for the year. In the UK, most people are taxed at source through PAYE (Pay As You Earn). However, if you’re self-employed or have additional income streams, you’ll need to file a self-assessment tax return.
The UK Tax Year
The UK tax year runs from 6 April to 5 April of the following year. For example, the 23/24 tax year means that you’ll report your income and gains from 6 April 2023 to 5 April 2024. Understanding the tax year is essential for determining what income and expenses you need to report.
Who Needs to File a Self-Assessment Tax Return?
Not everyone needs to file a self-assessment tax return. You must file if:
- You are self-employed.
- You have income from savings, investments, or property.
- You earned more than £1,000 from self-employment.
- You made a profit from selling assets subject to Capital Gains Tax.
- You have income from overseas.
- You received dividends exceeding your allowance.
If you’re unsure, HMRC’s website has a detailed guide on who needs to file.
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Key Deadlines for 2024
Missing tax deadlines can result in penalties, so it’s essential to mark these dates in your calendar:
- 5 October 2024: Register with HMRC if you are self-employed or need to submit a self-assessment tax return for the first time.
- 31 October 2024: Deadline for filing a paper tax return for the 2023/24 tax year.
- 31 January 2025: Final deadline for submitting your online tax return and paying any tax owed for the 2023/24 tax year.
Failure to meet these deadlines can result in penalties, so be sure to file your tax return on time.
How to File Your Tax Return
Filing your tax return can be done either online or on paper. Filing online is the preferred method as it’s faster, more secure, and HMRC provides immediate confirmation upon submission. To file your tax return online, you’ll need your Unique Taxpayer Reference (UTR), National Insurance number, and your Government Gateway user ID and password.
Steps to Complete Your Tax Return:
- Gather Financial Information: This includes your P60, P11D, bank statements, and records of any other income.
- Calculate Taxable Income: Total your income from all sources.
- Claim Tax Relief: Deduct any allowable expenses or tax relief to reduce your tax bill.
- Submit Your Return: Double-check your figures and submit your return through the HMRC website.
- Pay the Tax You Owe: Once your return is processed, HMRC will calculate the amount of tax due, which you must pay by 31 January 2025.
What Happens After You File?
After submitting your tax return, HMRC will process it and send a letter confirming the amount of tax due or a refund if you’ve overpaid. Keep your records for at least five years in case HMRC has any queries.
How Can Jack Ross Help?
At Jack Ross, we have a diligent team of tax experts ready to ensure you pay exactly the right amount to HMRC, and not a penny more.
We pride ourselves on our commitment to professionalism, transparency and compliance.
Our clients are given upfront, honest and expert advice to ensure that their tax returns are accurate, efficient and compliant.
Final Tips
- Start Early: Avoid the stress of last-minute filing by starting your return well before the deadline.
- Seek Professional Help: If your financial situation is complex, consider engaging Jack Ross to ensure your tax return is accurate.
- Stay Updated: Tax laws can change, so stay informed about any updates to the UK tax system that might affect you.
If you are in need of our expert tax advice, please use the contact form below and a member of our team will be in touch to organise a free 15-minute consultation.