What is a tax return?
The UK has a Self Assessment Tax Return (SA) system through which HMRC collects taxes on income from individuals, including self-employed persons and directors of companies. If you are a paid worker and have no other worldwide income (not just in the UK), you do not have to file a tax return until the IRS tells you to do so.
If you were a tax resident in the UK in the reporting year, then you need to prepare and file your tax return by a certain date. So if you are not sure about your tax status in England, you can find out for any tax year by taking the Tax Residence Test.
When should I file my tax return?
After the end of the tax year (April 5), you have 9 months, i.e. by January 31 of the following year to prepare and file your tax return. At the same time, you must pay the due taxes for the reporting year and the advance payment for the next tax year, if necessary. If you miss this date, you can still file your return, but you will be charged a late filing penalty and a late tax penalty. This penalty will be calculated based on the length of the delay.
Who needs to file a tax return?
You need to prepare and file your tax return if during the reporting tax year (April 6 – April 5) you were:
- director of a British company or individual entrepreneur (self-employed)
- your total income during the year (including all types) exceeded £100,000
- your unpaid UK income exceeds £2,500
- you received income from renting out property in the UK (even if you are not a tax resident here)
Unfortunately, preparing a tax return is not an easy task and requires certain knowledge and time. It is not uncommon for taxpayers to be penalized for errors in their tax return or delays in filing or paying taxes. The most important things to keep in mind are the costs that you can recover, which sections of the declaration to fill out and which not to fill out, and what information to indicate. And, of course, we must not forget about paying taxes. As a rule, it is not necessary to pay all taxes at once – you can split the payment into parts if you have a special plan. But you will not be able to take advantage of this plan if you have debts from previous tax periods.
And for United Kingdom VAT Submissions follow the link.
Experience of professionals
We strongly recommend our clients to use the services of our specialists. With the help of our experts, you will save time and never miss the deadlines for filing a declaration and paying taxes, as well as avoid overpaying taxes. We provide the following support:
- Providing advice based on your situation and answering your questions.
- Calculation of your tax liabilities under various circumstances and assistance in choosing the best option.
- Registering you with the Internal Revenue Service (HMRC).
- Preparing and submitting your tax return to the IRS.
Our professionals can help you with the most complex tax filing issues in the UK, from self-employed to overseas earners. If you are not yet registered with the Tax Office, we will help you do it. We will make sure that all required sections and additional pages of the declaration are filled out correctly. Our goal is to protect your assets while you comply with all tax laws.
Determination of tax residence with the experts of Imperial & Legal
As you can see, there are a lot of nuances that determine whether you are a resident in England or not. It is for this reason that when you do tax planning, you need to take into account absolutely all aspects of the move, so as not to give up in a difficult situation and not spend large sums on paying tax residency certificate UK.
Specialists of Imperial & Legal are always ready to help you with this, offering a whole range of services, developing a unique solution for each individual, taking into account all the nuances. Our highly qualified lawyers will accompany you at all stages of cooperation, advising on visa and tax obligations. You just need to call us or leave a request on the site.