Navigating your Self-Assessment tax return as a self-employed individual doesn’t have to be daunting—with GnC Accounting right here in West London to support you every step of the way.
1. Do You Need to File?
If you earned more than £1,000 from self-employment, side-hustles, or untaxed income in the tax year (6 April to 5 April), you must complete a Self-Assessment return—even if you don’t owe tax. New HMRC guidance reminds everyone with side income above £1,000 to register with HMRC by 5 October and file the return online by 31 January to avoid penalties.
2. Registering and Filing
If you’re new to Self-Assessment, register with HMRC by 5 October following the end of the tax year. You’ll receive your Unique Taxpayer Reference (UTR) and set up a Government Gateway account. Once logged in, you complete the SA100 form along with the appropriate supplementary pages—SA103S for turnover under £90,000 or SA103F if above.
3. What to Include
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Income: Total your self-employment revenue.
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Allowable expenses: Deduct costs such as travel, office, marketing, training, and goods purchased to sell, as permitted by HMRC for sole traders.
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Calculate profit: Income minus expenses determines your taxable profit.
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National Insurance contributions: Class 2 and Class 4 NICs apply depending on profit levels.
4. Deadlines & Avoiding Penalties
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Register by 5 October (if first time).
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31 January: Deadline for online filing and payment.
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31 October: Deadline for paper returns.
Missed deadlines bring automatic £100 fines, plus daily or longer penalties.
5. Record Keeping & Support
You don’t submit paperwork with your return, but must retain it (like receipts and account records) for HMRC should they ask. If self-assessment feels overwhelming or you’re uncertain about allowable expenses, reach out to GnC Accounting—our expert team will handle your return efficiently and accurately.