The best holiday season is upon us, whether you are religious or not, there is always something magical about Christmas. The last thing on our minds is filing self assessment tax return due to being submitted to the HMRC by 31 January. Unfortunately for us, if it’s late, there is a fixed penalty of £100 and one may also incur a daily penalty for each day of late submission, which escalates as time passes before submission.
If you owe tax on your income this must be paid to HMRC by 31 January following the end of the tax year and if left unpaid, penalties and interest accrue.
So the question remains, do you need to complete that self-assessment tax return?
Filing self assessment tax return is necessary if you are self-employed, or in receipt of rental income, or have income from other investments and saving such as dividends, overseas investments, etc. If you have made profits on a sale of an asset such as a second property or shares then there may be a case of having to pay capital gains tax.
One understands this all sounds daunting, convoluted and more importantly expensive. The last thing any of us want is to do is hand over our more than our fair share of hard-earned monies over to the Revenue. And therein comes the assistance to mitigate your tax liability with expert help.
When you’re calculating your self-employed tax return there are a number of allowable expenses that are deductible. As a self-employed person, you will incur expenses to help you carry on with your business such as materials and tools you may have needed in order to trade. Travel expenses to help you get around like fuel, rail fare, insurance for your car, offices costs such as heating lighting, stationery, telephone charges, financial costs include insurance and bank charges, staff costs, marketing costs to advertise your business, even clothing such as a uniform or protective gear, the list is endless. These expenses may be deductible against your income.
Self-employed tax return for a self-employed person is not an exercise to dread, when you take all the expenses into consideration your tax payable may not be as high as you think. For example, if your turnover £30,000 over the year and your expenses total £10,000, you will only have to pay tax on £20,000 less than the personal allowances.
The self-assessment tax return needs to include all income received from other sources along with your salary or wages. As explained above income from investments and savings or rental income, overseas investments, also includes income received in the UK while living abroad. Each of these categories has different levels of income tax computations dependant on the tax band and the levels of exemptions. For your self- assessment tax return help Click here.
Get together all the documents needed to
compute your tax return before Christmas, that way
filing self assessment tax return can be done on time, no penalty charge and you have more than 30 days to allow yourself time to save for any tax payments due if at all, by 31 January. This way the new year starts with a clean slate.
V P Associates Chartered Tax Accountants can help taxpayers file a proper self-assessment tax return to help avoid penalties and hefty fines, the tax advisers at V P Associates keep a close watch on the changing rules and requirements and are therefore equipped with the necessary up to date knowledge to help tax payers every step of the way of filing self assessment tax return. Let the tax expert take away the burden and heartache of this annual self-assessment filing exercise and free yourselves to carry on what matters more to your business or otherwise.
About V P Associates: Tax Accountants, Chartered Tax Advisors & Chartered Certified Accountants East Grinstead, are the first and foremost specialists in taxation matters. Visit their site for a comprehensive list of services including dealing with tax affairs and business accounts preparation for self-employed individuals, be it sole traders or in partnerships, self-assessment tax return preparation and filing self assessment tax return , limited company accounts preparation and corporation tax matters, tax planning for individuals and limited companies, VAT, IHT and succession planning and more at: http://vpassociates.com/ Media Contact
Company Name: V P Associates
Phone: 0800 160 1500
City: East Grinstead
County: West Sussex RH19 3BT
Country: United Kingdom