Everything You Need to Know
With the Autumn Budget finally delivered last month and Christmas almost upon us, it’s easy to put some accountancy tasks off. One thing that you shouldn’t miss, though, is the HMRC Self Assessment deadline. If you are self-employed, then you are going to need to file your Self Assessment tax return before 31st January 2026. Let’s take a look at the process and how working with an accountant for Self Assessment can make the process so much easier.
Your Total Guide
If you are self-employed, the deadline for submitting your 2024-25 tax return is looming: 31st January 2025 to be precise. Let’s look at the process, and why it can be useful to call in the expertise of experienced accountants in Yaxley like Linda Carr Accountants.
Do I need to do a Self Assessment?
Before anything else, what is a Self Assessment and who needs to complete one? It’s the system used by HMRC to collect Income Tax from whoever is eligible. You’ll complete a form and report your taxable income and capital gains. You will also be able to claim any allowances or reliefs for the applicable year. All of this will allow HMRC to calculate how much tax and National Insurance you need to pay.
Who Needs to Submit a Self-Assessment Tax Return?
Who needs to submit a Self Assessment tax return is laid out by HMRC as follows:
- you were self-employed as a ‘sole trader’ and earned more than £1,000 (before taking off anything you can claim tax relief on)
- you were a partner in a business partnership
- you had a total taxable income of more than £150,000
- you had to pay Capital Gains Tax when you sold or ‘disposed of’ something that increased in value
- you had to pay the High Income Child Benefit Charge
You may also need to file a tax return if you have any untaxed income gained through the following means:
- money from renting out a property
- tips and commission
- income from savings, investments and dividends
- foreign income
When is the Self Assessment due?
If any of the above sounds like you, then you need to complete a Self Assessment. You will need to submit your online tax return and pay any outstanding tax by 31st January 2026. Remember, if you miss that deadline, HMRC will apply an immediate £100 late-filing penalty, with additional fines accumulating the longer you delay. So it really does pay to get it sorted ahead of time!
How do I register for Self Assessment?
Registering for Self Assessment might sound daunting, but it’s quite straightforward. All you need to do is create an account with HMRC Online Services. Then, to register, you’ll need your Unique Taxpayer Reference number plus either your postcode or your National Insurance Number. Once you have completed the registration process, HMRC will send you an activation code.
Sound scary? Don’t worry, we are here to guide you through the process and answer all of your questions on how to do a Self Assessment.
Benefits of Filing Early
Waiting until January to file can lead to stress and a greater risk of errors, along with limited availability if you plan to work with an accountant. Filing early gives you and your experienced Self Assessment accountant a chance to address any discrepancies and ensures you avoid any penalties. By knowing what you owe ahead of time, you can also prepare and set aside what you need to settle your tax bill comfortably. Plus, if you are owed a refund, filing early can mean receiving it sooner!
Why Work with a Professional Accountant?
Working with us can take away so much of the stress and complexity involved in filing your tax return. Tax laws change frequently, and our team stays up to date with these developments to ensure your tax return is totally compliant. We’re also here to identify deductions and allowances that you might not know about, potentially reducing your overall tax bill.
Tax returns can be time-consuming as well. By handling it for you, we allow you to focus on your business while we ensure your return is accurate and submitted on time. We are also skilled at spotting potential issues before submission, reducing the likelihood of errors that could trigger an HMRC investigation.
We are here to help
Submitting your Self Assessment tax return by 31st January 2026 doesn’t have to be a race against the clock. By getting in touch with us now, you can be sure that it is completed with plenty of time to spare and with fewer issues for you.