Frequently Asked Questions
Period Starting from 06 April of a year to 05 April of next year.
Self-employed individuals show their income and capital gains (profits on the sale of certain assets) as well as their business related expenses on their self-assessment return and can claim tax allowances or reliefs on their costs of work. Self-Assessment return should be submitted every year and should cover the period.
Unique Tax Reference (UTR) is a ten digits number and is unique for each individual and a taxable body such as a Limited Company. UTR is issued by HMRC and this can be found on your tax return or most correspondence from HMRC.
The deadline to submit Tax Return online is 31st of January, paper return deadline is 31st of October.
The balance of any tax owed, must be paid by 31st of January following the end of the tax year. 31st of July is the date when individuals may have to pay the second 'payment on account' towards their next tax bill.
Being Self-Employed if you fail to submit your Tax Return before due date, the penalties are:One day late – the penalty will be £100 More than 3 months - £10 for each day together with the sum, mentioned above More than 6 months - £300 or 5% of the tax amount, depends which one is higher, together with the sums, mentioned above.
These penalties apply, even if your income for the last tax year was NIL you do not owe any taxes to HMRC; And even if you have overpaid taxes and you are entitled to a tax refund.