How to File Your Personal Tax Return (Self Assessment) Using Gov.uk Guidelines

Filing a personal tax return can seem daunting, but with the right guidance, it can be straightforward. Here’s a step-by-step guide based on the official guidelines from Gov.uk:

1. Register for Self Assessment

• Check if you need to register: Visit the Gov.uk website and use the online tool to check if you need to send a Self Assessment tax return.
• Register by 5 October: If you need to send a return, register for Self Assessment by 5 October.

2. Gather Your Documents

• Unique Taxpayer Reference (UTR): Find your UTR number on previous tax returns or tax letters from HMRC.
• National Insurance Number: Have your National Insurance number handy.
• Income Details: Collect details of all UK taxable income, including employment, self-employment, rental income, dividends, pensions, and savings interest.
• Expenses: Gather information on any expenses you wish to claim tax relief on.
• Pension Contributions: Record details of any pension scheme payments.

3. Complete Your Tax Return * – (detail below)

• Online Filing: Use the online service on the Gov.uk website to complete your tax return.
• Forms: Fill out the SA100 form for your main tax return. You may also need supplementary forms like SA103 for self-employment or SA105 for rental income2.
• Step-by-Step Guidance: Follow the online guidance notes provided by HMRC to help you fill in each section.

4. Submit Your Tax Return

• File by Deadline: Ensure you submit your tax return online by the deadline, which is usually 31 January following the end of the tax year.
• Save Progress: You can save your progress and return to it later if needed.

5. Pay Your Tax Bill

• Calculate Tax Owed: Use the online calculator to estimate your tax bill.
• Payment Options: Pay your tax bill online through the Gov.uk website. You can also set up payment reminders and make payments in installments if needed4.

6. Keep Records

• Maintain Records: Keep records of all income, expenses, and tax returns for at least 22 months after the end of the tax year.
• Supporting Documents: Keep receipts, bank statements, and any other documents that support your tax return.

7. Get Help if Needed

• HMRC Support: Visit the Gov.uk website for video tutorials, webinars, and email updates to assist you.
• Professional Advice: Consider seeking advice from a tax professional if you have complex financial affairs or need additional support.

An Expansion of point no 3.

3. Complete Your Tax Return

Who Needs to File a Tax Return

According to the Gov.uk website, you must file a Self Assessment tax return if any of the following apply to you in the last tax year (6 April to 5 April):

• Self-Employed: If you were self-employed as a sole trader and earned more than £1,000 (before expenses).
• Business Partnership: If you were a partner in a business partnership.
• High Income: If you had a total taxable income of more than £150,000.
• Capital Gains Tax: If you had to pay Capital Gains Tax when you sold or disposed of something that increased in value.
• High Income Child Benefit Charge: If you had to pay the High Income Child Benefit Charge.
• Untaxed Income: If you have any untaxed income, such as rental income, tips, commission, savings interest, dividends, or foreign income.

Types of Income to Include

When completing your tax return, you need to include the following types of income:

• Employment Income: Wages, salaries, bonuses, and other compensation from employment.
• Self-Employment Income: Profits from self-employment, including services sold through websites or apps.
• Rental Income: Income from renting out property, unless you’re a live-in landlord and get less than the Rent a Room Scheme limit.
• Interest and Dividends: Interest from savings accounts and dividends from shares, over your allowances.
• State Benefits: Some state benefits, such as Jobseeker’s Allowance, Employment and Support Allowance, and Income Support.
• Pensions: Most pensions, including state pensions, company pensions, and personal pensions.
• Other Income: Miscellaneous income, such as casual earnings, commission, or taxable coronavirus support payments.

Tax-Free Income

Certain types of income are tax-free based on the Gov.uk guidelines:

• Personal Allowance: The first £12,570 of your income is tax-free.
• Trading Allowance: The first £1,000 of income from self-employment is tax-free.
• Property Allowance: The first £1,000 of income from property rental is tax-free (unless using the Rent a Room Scheme).
• Savings and Dividend Allowances: The first £1,000 of savings interest and the first £1,000 of dividend income are tax-free.
• Tax-Exempt Accounts: Income from Individual Savings Accounts (ISAs) and National Savings Certificates is tax-free.
• Premium Bond or Lottery Wins: Wins from Premium Bonds or the National Lottery are tax-free.