If you’re preparing to complete your Self Assessment tax return for the first time, understanding your responsibilities is crucial. 

Missteps in this process can result in late or inaccurate returns, which may lead to costly penalties. Being well-informed helps you avoid costly mistakes and ensures compliance with tax regulations.

Your Self Assessment questions answered!

1. When do I need to register?

If you need to complete a Self Assessment tax return for the first time, you need to let HMRC know by October 5th. You can do this online, by phoning HMRC or by completing a form and posting it to HMRC directly. 

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2. Do I need to file a tax return if HMRC hasn’t contacted me?

Yes, it’s your responsibility to determine if you need to complete a Self Assessment tax return. Even if HMRC hasn’t reached out to you, you may still need to file a return.

This could be necessary if you:

• Are self-employed with gross income exceeding £1,000.
• Earned less than £1,000 but want to voluntarily pay Class 2 National Insurance Contributions.
• Are a new partner in a business partnership.
• Have untaxed income over £2,500.
• Receive Child Benefit payments and you or your partner’s income is over £50,000 and requires paying the High Income Child Benefit Charge. 

If you’re not sure whether you need to file or not, you can use HMRC’s free tool to check. 

3. Do I have to pay my tax bill when I file my Self Assessment tax return?

No, even if someone filed in October, the deadline to pay any tax owed is 31st of January. However, you can set up a Budget Payment Plan to spread the costs of your tax bill through regular payments which can help you manage your finances better.

How long does a tax return take?

4. Do I need to file a return if I don’t owe any tax?

Yes, you may still need to file a Self Assessment tax return even if you don’t owe any tax. Some examples of why it might be necessary include if you are:

• Claiming a tax refund,
• Claiming relief on business expenses, charitable donations, or pension contributions,
• Or if you want to pay voluntary Class 2 National Insurance Contributions to maintain your eligibility for certain benefits and State Pension.

5. Will HMRC automatically de-register me as Self Employed if I no longer need to file a tax return?

No, you need to inform HMRC if your circumstances change and you think you no longer need to submit a Self Assessment tax return. If you’ve received a notice from HMRC to file, it’s crucial to update them to avoid receiving further reminders or potential penalties. 

6. Do I need to file a tax return for selling personal items online?

You might have heard a lot of people speculating online that HMRC has launched a crackdown on people selling their possessions online, but the tax rules have not changed. If you’re only getting rid of old personal items that you no longer want on online marketplaces then you don’t need to file a tax return. If you need further guidance, make sure you reach out to HMRC directly. 

How to submit a VAT return when you’re self employed

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Important deadlines that you need to know as someone self employed

Registering as self employed - October 5th

Paper tax returns - October 31st

Online tax returns - January 31st

Deadline for paying tax owed - January 31st

Need more help with your tax?

Understanding Self Assessment and staying tax compliant can be tricky, especially if it’s your first time. At Crunch, we specialise in providing tailored support to help you manage your tax responsibilities.

Whether you need a one-off Self Assessment tax return filed or need ongoing accounting support for your Limited business, we’ve got you covered.

Let us take the stress out of tax season so you can focus on what matters most to you. 

Book a free consultation

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