Tag: Self Assessment

Self-Assessment Tax Return guide for self employed
Articles

Self-Assessment Tax Return guide for self employed

As self employed it can depend on how you want to setup your business. You can be self employed and form a limited company. You can be self employed and register as sole trader with HMRC. Most common taxes you pay are Income Tax, National Insurance, VAT and corporation tax.

HMRC

Reducing Your Payments on Account

If you know that your tax liability for the current year is going to be less than the previous year, you can apply to reduce your payments on account. This may be the case if you have suffered a downturn in trade or lost a major customer.

Cash Basis for Self Employed
HMRC

Cash Basis for Self Employed

The main advantage of the cash basis is its simplicity – there are no complicated accounting concepts to get to grips with. Because income is not recognised until it is received, it means that tax is not payable for a period on money that was not actually received in that period.

Benefit of High-Income Child Benefit Charge
HMRC

Benefit of High-Income Child Benefit Charge

Where the High Income Child Benefit Charge applies in full, the recipient can opt not to receive the child benefit rather than receive it and pay it back. This can be done online or by contacting the Child Benefit Office.

Amending Self Assessment Tax Return
HMRC

Amending Self Assessment Tax Return

Amending your tax return will also change the amount of tax you owe. If it is more, you will need to pay this, plus interest (which runs from the due date of 31 January after the end of the tax year). If your tax bill goes down as a result of the amendment, you can claim a refund

Tax Deduction of Expenses in Employment
HMRC

Tax Deduction of Expenses in Employment

Employment expenses are deductible only if they are incurred ‘wholly, exclusively and necessarily in the performance of the duties of the employment’. The test is a harsh test to meet; the ‘necessary’ condition means that ‘each and every’ jobholder would be required to incur the expense.

Overpaid tax
HMRC

Overpaid tax | How to claim it back

When completing the self-assessment tax return, you can provide HMRC with details of the bank account to which you would like any repayment to be sent. You can also request that any repayment is made by cheque.

Benefit of High-Income Child Benefit Charge
HMRC

High Income Child Benefit Charge

The charge is 1% of the child benefit received in the tax year for every £100 by which the adjusted net income of the person liable for the charge exceeds £50,000. So, for example, if adjusted income is £57,000, the High Income Child Benefit Charge is 70% of the child benefit received.