Do I need to do a Self Assessment?

Throughout the tax year, certain individuals will need to file a self assessment tax return. One of your initial thoughts when it comes to this process is most likely ‘Do I need to complete a self assessment’?

What is Self Assessment?
It should be clear that a Self Assessment is not a form of tax – it is a way of paying tax and declaring your income.

Certain UK taxpayers are responsible for completing a tax return each year and for paying any taxes due for that tax tear. Individuals who need to complete a self assessment are required to complete a tax return and return it to the HMRC.

When you start a Self Assessment tax return, you will typically include all your taxable income, and any capital gains. With Self Assessments, you can also claim any tax allowances or tax reliefs that you are entitled to on the form.

In general, the information on the tax return is used to calculate your tax liability – this process is called Self Assessment.

Who Needs To Complete A Self Assessment Tax Return?
In the UK, most employed people are taxed at source under pay roll / PAYE system, and therefore won’t need to complete a tax return. Typically, if you receive income or capital gains that do not have tax automatically deducted – you will need to report this under a self-assessment.

Do I Need To Complete A Tax Return?
You may need to complete a self-assessment tax return if you’re self-employed as a sole trader and have earned more than £1,000 in the previous tax year (usually 6th April to 5th April), or if you’re a partner or director of a limited company.

By completing a self assessment tax return, you will know how much income tax and national insurance you’ll be tax liable for on the profits generated by your business.

Apart from this, you also may need to complete a self assessment tax return if any of the following applies to you:

You receive rental income above £2,500 from property that you own
You earn above £10,000 from interest on savings or investment income
You ear above £2,500 from any untaxed income such as tips
You owe capital gains tax from selling a property or asset such as crypto and have earned a profit gain
You want to claim child benefit, and you or your partner’s income exceeds £50,000
You receive taxable income from abroad, or you live abroad but receive an income in the UK

This is just a short list of circumstances where you may need to file a tax return. For a full understanding of your current tax situation, it’s always best practice to receive advice from professional personal tax and self assessment accountants.

I received a notice to file a Self Assessment Tax Return
Individuals who have received a tax return from HMRC, or a notice to file one, is legally obliged to complete and submit it.

If you find yourself in this position, we encourage to contact a professional accountant. Our team at MJ Kane, are always here to help! For urgent queries, contact us by phone on 028 9335 0290 to receive advice on your personal tax situation.

Should I Hire A Self Assessment Accountant?
Acquiring the help of a professional self assessment accountants can help self assessment tax return is filed correctly and timely. At MJ Kane we can ensure your are only liable for the correct amount of taxed owed. The core benefits to hiring an accountant are as follows:

Save time and hassle
Completing a company tax return and self assessment form requires an intensive amount of time and record keeping to be able to complete it properly. Outsourcing this process to a self assessment accountant can save time that can invested elsewhere such as your business or family.

Avoid frustration and confusion
Like any tax issues, it takes time to work your way around the system and understand what is required from you. A self assessment accountant can help simplify this process.

Avoid potential fines or late submissions
Our self assessment accountants ensure that your form is submitted accurately so there are no risks of receiving fines or the attention of HMRC when filled incorrectly. We’ll also ensure to have effective time keeping so that everything is done well before any deadlines.

Avoid mistakes and misinformation
Filling it out correctly can be confusing, especially if you are new to all this. Mistakes can be made, and these can be costly. A self assessment accountant will review and ensure all information is correct before submission.

Be up to date on tax legislations
Tax legislation changes all the time, and our self assessment accountant are keep up-to-date with it so you don’t have to

Get potential savings
An experienced self assessment accountant will know where to find deductions so you could reduce your tax bill legally. There’s also the risk of paying too much tax if you fill in your Self-Assessment form yourself. When you use an accountant you may be able to save more money than you spend on the service, which could be hundreds of pounds or more.

Professional record keeping
A self assessment accountant can help you to organise your files to make the process easier and quicker in the next tax year. Our accountants can also provide tips on managing your finances to make record keeping and bookkeeping easier.

Why MJ Kane For Your Self Assessment Accountant
Over 8000 satisfied clients
In over 30 countries
60+ industrial experience
Your Own Dedicated Accountant
Competitive Quotes
Small Business Experts
No-Hassle Solution
Error-Free Accounting
In house experts for all accounting needs

You can get started with our Self Assessment Accountant Services by arranging a call back with our team on the form below.

Alternatively, for urgent queries please call us at:

Tel: 028 9335 0290

Self Assessment FAQs

What Do I Pay Taxes On?

  • Money you earn from employment
  • Profits you make if you’re self-employed – including from services you sell through websites or apps
  • Some state benefits
  • Most pensions, including state pensions, company and personal pensions and retirement annuities
  • Rental income (unless you’re a live-in landlord and get less than the rent a room limit)
  • Benefits you get from your job
  • Income from a trust

What types of businesses do MJ Kane Accountants serve?

MJ Kane specialises in serving serves small and medium-sized businesses of all kinds (sole-trade, limited, partnership, contractor, charity etc..), but we are best known for our expertise in these industries:

  • Professional services – Real estate agents, insurance agents, financial advisors and more
  • Personal service contractors – HVAC technicians, plumbers, electricians, painters, mechanics and more
  • Retail – Clothing store, e-commerce sellers, convenience stores, coffee shops and more
  • Health and wellness – Gyms, salons, spas, dentists and more
  • Restaurants – Quick-service restaurants, fine dining restaurants, coffee shops, caterers, specialty food providers and more

I am a Sole Trader, do I need to complete a Self Assessment?

Sole Traders are required to submit a self-assessment tax return.

I am a Partner in a partnership, do I need to complete a Self Assessment?

Partnerships are required to submit a partnership tax return, and each partner must also submit a self-assessment tax return.

I am a Director of a limited company, do I need to complete a Self Assessment?

Limited Companies are required to submit an annual return, CT600 company accounts, and directors are all required to complete a self-assessment tax return.

How Will Your Self Assessment Accountant Help Me?

Through our tax return accountants service, we will work to minimise any tax owed while preparing your Self Assessment. Our service is tailored for each individual but depending on your circumstances we can also claim for relevant expenses, allowances and tax reliefs on your tax return. We also offer a one-off tax advice where we can help you understand your UK personal tax situation.

How Long Do I Keep Tax Records In The UK

For individuals this should be a minimum of 5 years.

For companies this should be a minimum of 6 years.

You should ideally have a dedicated filing system for all records of historic years to ensure you can access any document easily.

How Do I Claim Tax Relief on Self Assessment?

Within the self assessment form there’s a series of supplementary pages, this is particularly important if you’re self-employed or receive income from another source – you’ll  use this section to help claim tax back from HMRC.

Read more about how to claim tax relief on your self assessment

Do I need to complete a self assessment form if I am small business owner?

Yes. Small business owners are considered self employed persons and are required to complete a self assessment form so HMRC can tax earnings appropriately.

Learn more about self assessment for small business owners.

What Do I Need For My Self Assessment Form?

Before starting your self assessment tax return, ensure you have the following

  • My PIN
  • My UTR number
  • My Gateway ID

Alongside this, you’ll need record of your income and self assessment records for tax relief. We have procured a complete self assessment checklist to help complete your self assessment form.

What Happens If I Fill A Self Assessment Wrong?

You may face certain financial penalties if you submit incorrect information alongside the actual tax owed. There are also penalties for late submissions.

We cover this through our How to do a self assessment guide.

How Long Do I Keep Tax Records In The UK

For individuals this should be a minimum of 5 years.

For companies this should be a minimum of 6 years.

You should ideally have a dedicated filing system for all records of historic years to ensure you can access any document easily.

Who needs to fill a Self Assessment?

Typically, if you receive income or capital gains that do not have tax automatically deducted – you will need to report this under a self-assessment.

We have a separate guide to find out if you need to do a self assessment