When do I Need to Fill in a Tax Return?

If HMRC send you a notice reminding you to fill in a Self Assessment tax return, you should do so! But what happens if you are not presently reminded or required by HMRC to send in a return?

The following persons should notify HMRC that they need to submit a return even if HMRC are not presently asking them to do so:

  • If you are, or become, self-employed, this includes being a member of a partnership.
  • If you are a company director, a minister of religion or member of Lloyd’s

You are also required to send in a return if your income from the following sources exceeds:

  • £10,000 or more income from savings and investments
  • £2,500 or more income from untaxed savings and investments*
  • £10,000 or more income from property (before deducting allowable expenses)
  • £2,500 or more income from property (after deducting allowable expenses)
  • annual trust or settlement income on which tax is still due (even if you’re only treated as receiving this income)
  • income from the estate of a deceased person on which tax is still due

    *Although there is no requirement to request a tax Return if your untaxed savings income is below £2,500, it is necessary that you advise HMRC to include the income as a deduction on your Notice of Coding.

Other reasons:

  • You are 65 and receive a reduced age related allowance
  • You have any foreign income that is liable to UK taxation
  • Your annual income is over £100,000
  • You need to claim certain allowances or reliefs
  • You have capital gains tax to pay
  • You are a trustee
  • If you have lived or worked abroad or you are not domiciled in the UK
  • If you have untaxed income sources and are using personal allowances elsewhere

As you can see this is quite a list. Unfortunately it is the taxpayers’ responsibility to notify HMRC that they need to submit a return. If you have any doubts about your status please call.