15/10/24
January 2025 may seem like a long way off. But when it comes to Self-Assessment tax returns, getting ahead and being prepared is more than half the battle – especially if you plan on doing all the work yourself.
Now summer holiday season is over, and the deadline on October 5th for Self-Assessment registration has passed, from there, things can rapidly snowball out of control if your accounts are left to the last minute.
Sleepless nights, careless errors, and missed opportunities for achieving benefits and relief are just some of the pitfalls you can expect when you rush your Self-Assessment tax return.
So, this year, save yourself the panicked scrabble for receipts, the undue stress, and costly mistakes – not to mention the dark cloud looming over your New Year celebrations.
Read our guide to getting your Self-Assessment tax return sorted ahead of schedule so you can submit yours with total calm and absolute confidence on January 31st 2025.
Self employed
Those applying for Self-Assessment for the first time will need to register with HMRC via the Government website. Once done, you’ll receive a 10-digit Unique Taxpayer Reference (UTR) number through the post. Use this to set up and access your online Government Gateway account; here, you can file your Self-Assessment return and get a notification from HMRC on any Income Tax or National Insurance Contributions (NIC) that may be due.
Those who are self-employed and have previously submitted a Self-Assessment return will need to register for the 2024/25 Tax Year using a CWF1 form which can be found on the Government Gateway. You will need your 10-digit UTR number to do this.
Additional sources of income
If you are not self-employed but have earnings outside of your PAYE income including those from:
- Secondary employment
- Rentals
- Pensions and trusts
- Interest on savings
- Employment benefits
You must declare these for tax purposes. To do this, you will need to complete an SA1 Form, which can also be found on the government website.
This is one area of Self-Assessment where it’s often beneficial to seek the advice of a professional accountant. Although it’s necessary to declare additional sources of income, there are certain allowances that mean not all sources are taxable and taking advantage of these could greatly reduce your tax bill.
At CTT Accountancy, we provide a bespoke, one-to-one service. We take the time to get to know you and your finances, so we can help you develop the best, most tax-efficient strategy when it comes to Self-Assessment.
Missed the deadline?
If you missed the 5th October deadline, you should still register for Self-Assessment as soon as possible.
As long as any Income Tax or NIC that’s due is paid by the 31st January 2025 deadline, there will be no potential lost tax revenue, and you should avoid a failure to notify penalty, which is calculated at a percentage of revenue lost.
Having said this, completing your online registration for Self-Assessment is a quick, easy task that helps you stay on target and get organised, so it’s worth taking 10 minutes out of your lunchbreak to fill in your personal details online.
It’s also worth noting that it can take up to four weeks for your registration to be processed by HMRC and to receive your UTR number, so don’t waste any time in applying!
Paper-based tax returns – a thing of the past
With the introduction of the government’s Making Tax Digital (MTD) scheme, which will see all Self-Assessment tax returns go digital from April 2026, paper-based returns will soon be a thing of the past.
Although HMRC is still accepting paper-based postal submissions for the 2024/25 tax year (deadline 31st October), embracing the move to digital now will help you enormously when the time comes to make the switch.
Digitising your accounts not only saves you time and stress. It also helps reduce the risk of errors and omissions and can help flag any trends where there’s scope from potential savings.
At CTT Accountancy, we provide onboarding for clients looking to digitise their accounts. We also offer discounts on a choice of bookkeeping software, and advice to help you choose the best platform for your business and personal needs.
And when it comes to filing your Self-Assessment online, we’re here to support you every step of the way. Whether it’s casting a trained eye over your returns before you hit ‘send’ or carefully combing your finances for tax break opportunities, the professionals at CTT Accountancy are here to provide the support you need.
31st January: the final deadline
The final deadline for digital Self-Assessment submissions for the 2024/25 tax year is 31st January 2025. But leaving it this late to file your return is not advised.
Whether you rely on a professional accountancy service to carry out your Self-Assessment or prefer to handle it yourself, a rushed job can result in costly errors and unnecessary stress.
At best, you could miss opportunities to reduce your tax bill and end up overpaying; at worst, you run the risk of missing the deadline completely and receiving a fine from HMRC.
The takeaway
If you’re self-employed or have additional sources of income, filing your Self-Assessment tax return is an unfortunate but necessary fact of life. By fostering a pro-active mindset and planning ahead, you can take the headache out of doing your tax return.
Better yet, by working with an accountancy service that cares, we at CTT Accountancy will keep your books in order and assist you with making savvy financial decision all year round. So, when it comes to filing your Self-Assessment tax return, you’ll not only be compliant and on time, you’ll also reap financial rewards.
For more information on how we can assist you personally with your Self-Assessment tax return, contact the CTT Accountancy team today.
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