Self Assessment Return – What to consider (January 2023)

Self Assessment Return – What to consider (January 2023)


Failure to file electronically by this date will result in a £100 fine in the first instance. Continued non-submission could also mean incurring further penalties.

Are you putting off starting your return or sending information through to your accountant due to being overwhelmed by the information required?

Below are the sources that need to be considered:

SELF EMPLOYMENT –  this includes sole tradership, partnership and LLP. Required are details of Income and Expenditure for the year ended 5th April 2022 if this is your normal year end date, otherwise it is the year ended which falls within the tax year 2021/22.

EMPLOYMENT – If you have had more than one employment during the period 6th April 2021 to 5th April 2022 all need to be included. Information can be obtained from your P60/P45. Any benefits received from employment that have not been taxed through the payroll system will need to be declared. A P11d should have been issued by your employer. Additionally, if you have any employment expenses these need to be entered.

PENSIONS – State pensions or private. Again, the details can be acquired from your P60. If the pension has come to an end in the tax year a P45 should have been issued.

RENTAL INCOME – Income and Expenses for the year ended 5th April 2022. There is the option to claim £1000 rental allowance against rental income if this is higher than the actual expenditure.

ANY OTHER INCOME – this includes interest from banks/investments, dividends and covers any other taxable income received in the year.

CAPITAL TRANSACTIONS – If you have sold a capital asset, (other than your personal residence which has been your home during the whole period of ownership). You will need the original cost, disposal proceeds and costs incurred at both acquisition and disposal.

PENSION CONTRIBUTIONS/ CHARITABLE DONATIONS – Most pension contributions from employment receive full tax relief at source and do not need to be entered. However, there are still some circumstances for which higher rate relief needs to be claimed on a Return. Any charitable donations will be entered showing the actual amount you donated.

BUSINESS INVESTMENTS – EIS. A certificate is issued when the business has complied with the relevant conditions.

HIGH INCOME CHILD BENEFIT CHARGE – If you have income in excess of £50,000 and either you or your wife receives Child Benefit details need to be entered.

STUDENT LOAN – If you are employed, student loan repayments are deducted automatically on your payslip. Your P60 should have the total details for the tax year. If you are self-employed questions regarding the loan outstanding will need to be entered in order for the charge to be included within your self-assessment calculation.

MARRIAGE ALLOWANCE – You can transfer some of your personal allowance to your spouse if your income is less than £12,570 for 2021/22 .

BLIND PERSONS ALLOWANCE – For those registered blind.

As you can see above there is a lot to take into account when preparing your personal tax return. Should you require any assistance it is not too late, please contact us on 01482 888 820 and ask for our personal tax team.

Remember – You must also pay your tax due by 31st January as interest will run on any amounts unpaid from that date to the date of payment. The HMRC rate has now increased to 6%!