Personal Tax and Returns
Many individuals are required to make a return of income annually to HM Revenue and Customs.
Making Tax Digital an Overview
With effect from 6 April 2026, HM Revenue and Customs have rolled out their Making Tax Digital for Income Tax Regime. This is a digital system, intended to eventually replace the traditional Self Assessment Tax Return for many taxpayers. It applies to individuals with self-employment and/or or property income exceeding
· £50,000 gross per annum from 6 April 2026
· £30,000 gross per annum from 6 April 2027
Key deadlines
The submissions are to be made quarterly, followed by a final declaration (your Self Assessment Tax Return) which will report any other sources of income, such as investment income.
Submission – Period Covered – Deadline:
Quarter 1 – 6 April – 5 June – 7 August
Quarter 2 – 6 June – 5 September – 7 November
Quarter 3 – 6 September – 5 December – 7 February
Quarter 4 – 6 December – 5 April – 7 May
Final Declaration – Full Tax Year – 31 January (following year)
We can assist in the preparation and submission of returns, and our tax department helps us monitor these deadlines.
Your tax liability is calculated based on the final submission and payment deadlines remain the same, being 31 January following the end of the tax year and 31 July if you are required to make interim payments on account.
How to Submit
You must use MTD- compatible software. We can provide you with a personalised spreadsheet for you to record your income and expenses; we then review this and submit to HM Revenue and Customs on your behalf.
The Making Tax Digital for Income Tax regime penalties:
· Late submissions – The penalty system works similar to the VAT points system; a late submission will incur 1 point; 4 points will trigger a late submission penalty (these penalties are to take effect from 6 April 2027)
· Late payments – Interest charges will apply for any unpaid tax due by 31 January (and 31 July for those due to pay interim payments on account), with a surcharge being applied for any balancing payment outstanding as at 28 February, following the end of the tax year.
How we can help
Beyond managing your MTD Returns, we can provide:
· Tax Planning: Identify claims, reliefs and planning opportunities
· Computations: Completing all end of year tax calculations
· Representation: Handling all HMRC correspondence, taking the worry away from you.
However, with strict deadlines, costly penalties imposed by the Self-Assessment regime and constant changes and alterations to the tax system, we understand that help is often needed to avoid unnecessary tax costs.
When is self assessment due?
Not only can we assist in the preparation and submission of returns, our fully computerised tax department helps us monitor these deadlines and keeps our clients informed of payments and refunds due.
Those who are self-employed must file self-assessment tax returns. This also includes people who may have a regular employment but also pursue other activities that generate income, of which the profit will be the taxable income.
How do I do my self assessment?
Many people are capable of completing their self-assessment individually. We are here to help you if you would like to minimise the disruption to your business and advise you to make the process easier. There are many cases where completing self-assessment becomes more complicated as income grows or changes over time.
Arising from a wide range of experience and research facilities we are also able to deal with problematic cases or one-off assignments.
What is the difference between self-assessment and personal tax?
Personal tax services are available both for business owners and private individuals including:
- All aspects of completing Self-Assessment
- Dealing with Tax Returns
- Tax enquiries
- Computation of liabilities
- Tax disputes
- Correspondence with HMRC
- Inheritance tax planning
- Tax Investigation Fees Protection
- Trusts.
Tax Returns can be completed for:
- Individuals and sole traders
- Partnerships
The self-assessment regime is full of penalties and HMRC enquiry powers are extensive. It’s important that:
- Returns are correctly completed
- They are filed on time
- All backup records are retained for the appropriate period of time.
As well as the completion of your return we can assist with:
- Advice on your tax liabilities
- Claims and Reliefs available
- Negotiating with the Collector if necessary
- Identifying suitable tax planning opportunities
- Completing all the necessary tax computations
- Dealing with all correspondence from HMRC, taking the worry away from you.
You may also be interested in
