Tips for Filing Your Self Assessment Tax Returns
Have you recently gone self-employed and are now having to deal with all of your taxes? This can seem like a daunting prospect and there is going to be a lot to learn if you want to get it right the first time. In particular, you are going to have to get used to filing out the Self Assessment tax return. It will have to be done every year without any errors or mistakes being made. If you are new, here are some tips on filing your Self Assessment tax returns.
Keep Good Records
When you are a new business starting out or heading out on your own as self-employed, you need to keep good records. This is going to be a lifesaver when it comes to doing your Self Assessment tax return. You are going to have all of the numbers in front of you ready to go. What’s more, it is just smart to have good records. You can avoid making mistakes and having to pay for them later. There is a lot of good software out there you can use for this task. Alternatively, keep all of your bank statements and other receipts and you are going to find your Self Assessment tax return a lot easier.
Claim All Expenses
Did you know that you can claim for expenses in your Self Assessment tax return? If you are new to this whole process, you might not be aware that you can do this. While you are best to provide evidence of all your expenses, this is going to help you a lot with the bill at the end. For example, if you work from home, you can claim a portion of your electricity bill and phone bill on expenses when they have been used in a business capacity. This area can get complicated. So, do not be afraid to reach out to a professional accounting company in Pinner for assistance. They are going to know all of the right moves to make when it comes to claiming expenses on your Self Assessment tax return.
Know the Deadlines
If you are new to dealing with your Self Assessment tax return, it is still that you learned all of the deadlines. After all, the last thing you want is to miss any of them. For instance, your tax return online should be submitted by the end of January. It is important to do this in advance. You will have to make a payment during this time, as well as paying a payment on account, which is at the end of July. With all of this new paperwork to do, it can all get confusing. But, the one thing you do not want to do is miss the deadlines. You will get into a lot of trouble and have to pay a fine.
Your Self Assessment tax return is not something that you want to leave until the last minute. There is going to be some information you have to fill in first before you can complete the financial part. Leaving it all until the deadline is just a bad idea. It also does not mean that you have a lot of time to pay the bill. Thus, do everything to do with your Self Assessment tax return in advance. This is going to make sure that you can work through it at your own pace and not have to rush. Remember that when you are in a rush, you are more likely to make mistakes. This is not something you want to do with your Self Assessment tax return. You can incur financial penalties if you make mistakes and errors even if they are not intended.
Check Over Several Times
It can seem like a huge relief when you finally finish your Self Assessment tax return. You just want to hit the ‘send’ button. But, before you do, you need to check over all of the numbers and information again. You do not want to make any errors that could have been avoided. Indeed, you might have to pay a financial penalty if this happens. So, spend some extra time going over all of the information again. Then, you can enjoy peace of mind knowing that you have looked everything over and it is all correct. If you are getting tired and sick of all the numbers, take a short break and come back to it. Just make sure that you check it all over before hitting ‘send’.