RBCA’s Tax Return Survival Guide

November 30, 2023

Tax return season is upon us again and for some of you, you may have to complete a tax return. We are completely aware that this may bring the panic of the looming 31st January deadline – don’t worry RBCA are here to help!

The fear of finding bank statements, looking out for receipts, and making sure all the book-keeping is up to date is all part of the process to calculate that dreaded tax bill at the end of the month.

Last year HMRC had stated that on 3rd January 2023, 5.7 million individuals still needed to file their tax returns. Were you one of those people?

At RBCA, We are here to make sure you are ahead of the crowd. Let’s get those returns done & dusted long before the dreaded January arrives.

We have created our tax return survival guide to ensure you make it through tax season

Step 1: Deciding whether you need to complete a self-assessment return.

Not everyone in the UK needs to complete a self-assessment return. Individuals who are solely paid via PAYE do not need to complete a return as they are already taxed at source on this income. An exception to this rule is those who are on a salary of greater than £100,000.

Individuals who have generated taxable income and have not paid any tax on this will need to complete a self-assessment return such as:

• You are self-employed – generating over £1,000;

• You are a partner in a partnership business;

• You are a minister of religion – any faith or denomination;

• You are a trustee or executor of an estate;

• You have savings or investment income over £10,000;

• You receive property income;

• You receive interest that is not taxed before it is paid to you;

• You receive an annual income of £100,000 or more before tax;

• You or your partner receive child benefit and your adjusted net income is over £50,000; or

• You have received foreign income which UK tax is due;

This is not an exhausted list. Please get in touch with us if you are unsure as to whether you need to complete a return!

Step 2: Registering for Self-Assessment

If you have never completed a self-assessment tax return, you will need to register online to receive your 10-digit Unique Taxpayer reference number (“UTR”) within 10 working days. This can be done online via https://www.gov.uk/register-for-self-assessment or we can do it for you!

Step 3: Gather your information

To complete your self-assessment return you will need the following information if applicable to your situation:

• Employment – P60 or P45;

• Pension – P60;

• Dividend vouchers;

• Self-employment – details of untaxed income and record of expenses occurred e.g. bank statements, receipts or access to accounting software;

• Details of any untaxed interest received;

• Details of any charitable donations;

• Details of any pension contributions;

• Details of child benefit received for yourself or partner if adjusted net income is greater than £50,000;

• Details of any other untaxed income (including property income, foreign income etc.)

Step 4: Completing your return

The self-assessment return is split into two separate sections. The main section records income (taxed and untaxed) from employment, pensions, dividends, or interest etc. It also records any pension or charity contributions made during the tax year and any taxable benefits received.

The second section of the self-assessment return records additional income from self-employment, property income or declaring capital gains.

Step 5: Paying your self-assessment bill

The payment deadline for paying your self-assessment bill is the same as the submission deadline (31st January 2024).

You can pay online via Pay your Self-Assessment tax bill: Overview – GOV.UK (www.gov.uk) and to do so you will need your UTR number followed by the letter “K”.

For same or next day payment, you can also pay by:

• Online or telephone banking (Faster Payments)

• CHAPS

• By debit or corporate credit card online

• At your bank or building society

• Through your online bank account

At RBCA, we are here to help through every step of the self-assessment process and if you need to complete a tax return, please don’t stress, pick up the phone and call 028 9532 0155 to have a conversation with one of our advisors – January is nearly here!

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