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Kristian Charles Williams

Kristian Charles Williams

Sep 25, 2021

Do I need to file a Personal Tax Return? What is Self Assessment? (UK)

The SA100 form is used when filing your self-assessment with HMRC

Do I need to file a Personal Tax Return? What is self-assessment?

Here in the UK, you will need to file a Self-Assessment via the SA100 form so that HMRC can assess how much income tax and national insurance you need to pay. (Unless you work for an employer who pays your tax at source) 

If you don't work for an employer but receive income - you will need to fill out a Self Assessment

Generally speaking, you will need to complete a Self Assessment if you answer YES to any of the following questions :

  • In total, does your total annual income exceed £100,000?
  • Have you received or are you planning to receive any income other than income from employment?
  • Are you a company director?
  • Have you received any income from land or property in the UK?.
  • Have you received foreign income in excess of £300?
  • Have you received income from an annual trust, settlement or inherited the estate of a deceased person?
  • Is your income over £50,000 and have either you or your partner received child benefit payments on or after 7th January 2013?
  • Do you have capital gains?

For confirmation and peace of mind, you can find out with absolute certainty if you need to file one by answering these HMRC questions.

Registering for Self Assessment?

You need to register by the 5th October after the end of the relevant tax year by phoning the Self Assessment Helpline on 0845 900 0444 or registering online.

When do I need to complete a Personal Tax Return?

If filing online, you need to complete your Self Assessment before the 31st January each year. Tax years run from 6th April to 5th April. You are also required to then pay your tax bill by the 31st of January. So get it done sooner!

Do I need to complete a Self Assessment if I'm a director?

If you have paid yourself dividends exceeding £10,000 then yes you will need to file a Self Assessment with HMRC. As a company director, you also need to ensure your company submits a corporate tax return.

TAXO'D blog - Tax Return

Do I need to complete a Self Assessment if I'm a sole trader?

Yes. The income you receive from your trade as a sole trader will not have been exposed to National Insurance Contributions or Income Tax. To enable HMRC to know how much NIC and Income Tax you need to pay you will need to complete a Self Assessment form.

Failing to register for Self Assessment in time?

Simply put, you will face a fine or penalty from HMRC. Remember the 2021 filing deadline has been extended. Make sure that you have registered with HMRC, you can check this by contacting them with your National Insurance number.

Failing to file your Self Assessment in time?

Having registered successfully, if you then fail to submit your tax return in you can incur some fairly significant penalties. HMRC are militant on deadlines and penalties for late returns, so we recommend being overly aware of the importance of filing well within the deadlines.

Don't forget you can pay your tax bill in instalments with HMRC Time To Pay

TAXO'D TOP TIP - You will need your Unique Taxpayer Reference (UTR) to successfully submit your tax return so make sure to apply for your UTR at least 6 weeks before the tax deadline. Also if you are filing your tax return with a paper SA100 via the post, you need to request one of these well in advance.

Why not let TAXO'D tax return app for freelancers handle all of your tax woes?

We provide an end-to-end tax solution for all freelancers and most self-employed tax payers. Record as you go, know what you owe and file direct to HMRC. No Green Form. No More Accountants. All from your phone or desktop.

TAXO'D is a salary tax calculator. You record as you go (on your phone or your computer) day by day, throughout the tax year. As the weeks unfold and you are actively recording your income and expenses. With TAXO'D personal tax app - you will see in real-time displays the tax and National Insurance that you owe.With TAXO'D tax return software know exactly what tax you owe and when you owe it. Simple.

TAXO'D mobile tax tool does away with the need for an accountant, saving you further money and time. If you are earning money independently and responsible for your own taxes then sign up today. And find out why TAXO'D is the best self assessment software for freelancers and contractors.

Tax Sucks! Spend less time and money on it with TAXO'D tax filing app

Disclaimer: This is simply a guide and should not be treated as tax advice. Contact HMRC directly if you need tax advice.

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TAXO'D blog Author

Kristian Charles Williams

Head of Growth, Partnerships & Mugician

A freelance human and one that resides in creative industries. For the best part I have been an independent musician and a (not-so-independent) composer.

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