How to File Tax Return in UK

You may be charged a penalty and interest if you file your self-assessment tax return after the due date. The specific penalties and costs you may incur will depend on the amount of tax due and the time your tax return is late. If you file your self-assessment tax return up to three months late, you will generally be charged a fixed penalty of £100. If your tax return is more than three months late, you will be charged an additional daily penalty of £10 per day, up to a maximum of £900. In addition, you may also be charged interest on any unpaid tax.

If you have a good reason for not being able to file your self-assessment tax return on time, you may be able to request a “reasonable excuse” from HM Revenue and Customs (HMRC). You will not be subject to any late filing penalties if your request is approved. However, you will still need to pay any tax due by the deadline to avoid incurring interest charges.
Filing your self-assessment tax return on time is essential to avoid penalties and interest charges. If you cannot meet the deadline, please get in touch with HMRC as soon as possible to discuss your options.

HMRC can impose penalties and interest if you have not declared all your income in your tax returns. Therefore, it is essential to accurately report your income on your tax returns to avoid potential penalties and interest charges. If you have made a mistake on your tax return or have not declared all of your income, it is generally in your best interest to correct the error as soon as possible. You can correct errors on your tax return by filing an amended return. If you are concerned about the potential consequences of not declaring all your income on your tax returns, you can call us for guidance and more information.

• To submit an amended tax return through the HM Revenue and Customs (HMRC) gateway portal, you will need to follow these steps:
• Go to the HMRC website and log in to your HMRC account. If you do not have an account, you must create one.
• Once you are logged in, navigate to the “Self Assessment” section of the website.
• Under the “Self Assessment” section, select “Submit a tax return.”
• On the “Submit a tax return” page, you will see a list of the tax years for which you can file a tax return. Select the tax year for which you need to file an amended return.
• On the next page, you will be prompted to enter your income and any expenses, deductions or reliefs. Make any necessary changes to your tax return and ensure that all the information is accurate and up to date.
• Once you have completed your amended tax return, please review the information carefully to ensure it is correct.
• When you are ready to submit your amended tax return, select the “Submit” button.
• You will be prompted to pay it through the HMRC gateway portal if you owe any tax due to your amended tax return.

You must note that you may only file an amended tax return within the particular time limit. Generally, you have 12 months from the filing deadline for the tax year in question to file an amended return. 

If you have the foreign income to declare in your tax return, you must enter this information in the SA106 supplementary page of the tax return form. The specific section where you should enter your foreign income will depend on the type of income you have received.

Following are a few examples of where you might enter different types of foreign income on your tax return:

• Foreign employment income: If you have received income from employment or self-employment outside of the UK, you should enter this income in the “Employment” or “Self-employment” pages of the tax return form.
• Foreign pensions: If you have received foreign pension income, you should enter this income in the “Pensions, annuities, and other state benefits” section of the tax return form. 
• Foreign rental income: If you have received rental income from a property outside the UK, you should enter this income in the “Property” section of the tax return form.

• Foreign dividends: If you have received dividends from a foreign company, you should enter this income in the “Investments” section of the tax return form.

It is essential to accurately report your foreign income on your tax return. If you need help with reporting your foreign income, you are free to call or email us. 

To determine if your foreign income is taxable in the UK, you will need to consider the following factors:

1. Your residence status: Your residence status in the UK determines whether you are subject to UK tax on your worldwide or UK income. If you are a resident of the UK, you will generally be subject to UK tax on your worldwide income. If you are a non-resident, you will only be subject to UK tax on your UK income.
2. The nature of the income: Different types of income may be subject to different tax rules. For example, foreign employment income is generally taxable in the UK, while foreign pension income may be taxable or tax-free depending on the specific circumstances.
3. Any applicable tax treaties: The UK has tax treaties with many countries that may affect the taxability of your foreign income. These treaties generally provide rules for determining which country has the right to tax certain types of income.

To avoid penalties, you must correctly disclose your overseas income on your tax return and pay any taxes owed. 

There are many factors that you should consider when filling out your self-assessment tax return:

1. Income: You will need to report all of your income on your tax return, including income from employment, self-employment, investments, and any other sources. Be sure to include any foreign income that you have received.
2. Deductions and reliefs: You may be entitled to claim deductions and reliefs that can reduce the amount of tax that you owe. These may include business expenses, charitable donations, and other allowable expenses.
3. Tax credits: You may be eligible if you meet specific criteria. Tax credits or tax paid in advance, like CIS deductions, can reduce the amount of tax you owe or may result in a tax refund.
4. Deadlines: It is important to file your tax return and pay any tax due by the deadline to avoid incurring penalties and interest charges. The deadline for filing a self-assessment tax return is usually 31st January, following the end of the tax year.
5. Record keeping: You should keep accurate records of your income and expenses in case of the tax authorities audit you. This may include receipts, invoices, and other documentation.

It is crucial to concentrate on all of these factors when filling out a self-assessment tax return to ensure that you accurately report your income and claim any deductions or reliefs to which you are entitled. If you need help completing your self-assessment tax return, you can call or email us for a quick quote.