At ABC Accounting Services, we know that self-assessment can be daunting, confusing and frustrating. We get endless calls and emails seeking advice on self-assessment and the many issues it can cause people. It’s one of life’s more mundane tasks, but it can’t be ignored. Do it incorrectly or late and you’ll incur charges and penalties from HRMC. We’ve put together a list of 10 tips that if you stick to, you’ll nail it first time every time.
1) Make sure that you’ve registered for self-assessment with HMRC – you need a unique code to complete your tax return and send it off. Don’t leave it until last minute as this could result in late submission and therefore fees.
2) Keep your circumstances updated with HMRC – you may not qualify for self-assessment if your circumstances change. Don’t leave yourself open to fines and penalties.
3) You must be registered for HMRC’s online services if you wish to use them. Do this promptly as it takes time to receive your activation code. If you leave it too late you could miss the submission deadline and be required to pay late penalties, even if you don’t owe or aren’t claiming any tax.
4) We advise always completing your tax return early to leave time for anything that HMRC send back to amend.
5) We always suggest to our clients to be prepared and put money aside for your tax bill and tax liabilities.
6) Claim appropriate tax relief if you’re somebody who makes payments to a charity or a personal pension fund. If you’re a high rate tax payer this could largely reduce your tax bill and liabilities.
7) Ensure that you are claiming all of the expenses and allowances that you’re entitled to. If you don’t do this you’ll end up paying more tax than you need to.
8) To avoid your tax return being subject to enquiry, ensure that your income and expenses are entered into the correct categories when you’re filling out your forms. If anything is wrong, HMRC’s software will pick up on it and you’ll be asked to re-do your self-assessment.
9) Seek professional advice if you’re unsure. There’s no need to struggle with self-assessment. We’ve got tax experts willing to help you. Email firstname.lastname@example.org for anything at all regarding tax and self-assessment.
10) If you’re self-employed with an income less than £11,500 then you should reduce your claim to capital allowance. Don’t waste your personal allowance by claiming too much.
If you’re still left feeling confused about your self-assessment, don’t hesitate to get in touch. The sooner you get it sorted, the less likely you are to miss the deadline and leave yourself exposed to late submission fees. We’re here to help you and give you all of the relevant information.
Call us on 01427 613613
Email us on email@example.com or our resident tax expert firstname.lastname@example.org