PERSONAL TAX SERVICE

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Our personal tax service manages the thorough preparation and filing of your personal tax return. We handle the accurate declaration of your income and the utilisation of your allowances, as well as any reliefs you are entitled to. We also offer guidance to determine if you should proceed with Self Assessment registration.

Typically, you are required to register just once, and this should be done by the 5th of October following the conclusion of the tax year in which the income or gains initially occurred. For instance, if you have income or gains to report for the 2023/24 tax year (from 6th April 2023 to 5th April 2024), you must register on or before the 5th of October 2024.

WHAT IS INCOME TAX?

Income Tax serves as the primary method of direct personal taxation in the UK. It is based on a percentage of an individual's earnings and is collected by HMRC and passed to the Treasury. 

England, Wales and Northern Ireland

The taxpayer’s income is assessed for tax according to the following order: the income from employment, minus personal allowance, is being taxed first, followed by interest income (savings income) and then dividends. 

Scotland

If you live in Scotland or if you move to Scotland and live there for a longer period than anywhere else in the UK during a tax year, you pay Scottish Income Tax, which could be ±3% different from the rest of the UK. If you live in more than one home, your main home is usually where you live and spend most of your time, regardless you own it, rent it or live in it for free. If you are not sure where is your main home, HMRC has detailed information about working it out.

Non-domiciled (Non-dom)

Put simply, you do not pay UK tax on your foreign income or gains if you are non-domiciled. Typically, an individual is domiciled in the UK if they were born in the UK or if the UK is their permanent home. If you were born outside of the UK or you do not intend to remain permanently in the UK, you are classified as not UK-domiciled. You can learn more about working out your domicile status here.

THE TAX YEAR

A tax year is a 12-month period, which is used by governments as a basis for calculating taxes. The British tax year or the “financial year” runs from 6 April to 5 April in the following year.

WHO MUST SEND A TAX RETURN?

You will normally need to send a Self Assessment tax return if one or more of the following apply to you: 

- You are self-employed (sole trader) and earn more than the trading allowance;

- A partner in a business partnership;

- A minister of religion;

- A trustee or the executor of an estate;

- A company director and you have income that is not taxed under PAYE.

Or you have any other untaxed income, such as:

- Money from renting out a property;

- Tips and commission;

- Income from savings, investments, and dividends;

- Foreign income, regardless of whether you are resident in the UK.

Typically, you will not be required to submit a personal tax return if your sole income comes from wages or a pension. However, you will need to complete one if you receive other untaxed income where the tax due cannot be collected through your PAYE coding notice. In the meantime, you can choose to fill in a tax return:

- To claim some Income Tax relief; and/or

- To prove you are self-employed.

PAYING YOUR TAX BILL

Typically, you will be required to make two payments into the account each year:

- By 31st of January, the balancing payment for any tax owed from the previous tax year and your first payment on account; and

- By 31st of July, is the deadline for your second payment on account.

THE DEADLINE

Make sure you make your payment to HMRC by the deadline. If you need to send a tax return and you miss the deadline for submission, you will get a penalty. If you owe Self Assessment tax and you do not pay your bill on time, you will be charged interest from the date your payment is due. 

PERSONAL TAX SERVICE

If you are already registered and need to submit a tax return, we can handle the preparation and submission process on your behalf. Note that the deadline for online 2022/23 tax returns was 31st January 2024. Alternatively, you could submit a paper tax return by 31st October 2023 and settle your tax bill by 31st January 2024.

GET HELP WITH TAX

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