Self-employed and Small Businesses Self-assessment Tax Return GuidePosted on January 21st 2020 in Tradie News
The deadline for your online self-assessment tax return is soon approaching with the deadline set for the 31st January, just what you want for payday. No need to worry if you have already done yours or if you met the paper deadline on 31st October.
Not sure if you need to file for a Self-Assessment tax return? HMRC has a useful tool that will help you check whether you need to it or not.
If you do, you will need to make time to prepare for filling your online tax return which includes Income Tax, Dividend Tax, Corporation Tax and VAT depending on your business type.
According to figures 36% of self assessment taxpayers under-reported their taxes, however 60% self-employed people underpaid. Consequently, we have prepared some quick, useful links below to help you carefully prepare your tax returns.
Self-employment has been one key factor to the unemployment rate dropping below 4% for the first time in decades in 2017, with the UK labour market growing from 3.3 million to 4.8 million. The rapid growth may relate to the increased number of fines self-employed people are receiving as they are making silly mistakes, possibly due to not being informed correctly. These tabs should hopefully give you some guidance on how to get started.
The deadline for online tax returns is 31st January 2020.
If you are a small business, do not forget about these costs you can claim back on:
- Salary costs: Contractors, Salaries
- Office costs: Rent, Insurance, Stationery
- Transport costs: Petrol, Train, Parking
- Training Course: Must be related to your business but not about how to start a new business.
- Advertising & Marketing: Free Samples, Website cost and Mailshots
- Clothing: Protective gear, costumes (we all know a few clowns in the industry 😉)
- Reselling Goods: Materials, producing cost of goods
Recent changes you need to be aware of…
HMRC are slowly moving all Tax related functions digital as a part of their Making Tax Digital campaign which they have put parts of on hold. If you are a business that has to pay VAT, then you would need to submit this online.
But once this is all over just think of how many tools you can buy come April, I mean take the missus out with your rebate…