In social psychology, self-assessment is the process of looking at oneself to assess aspects that are important to one’s identity. It is one of the motives that drive self-evaluation, along with self-verification and self-enhancement.

However, in terms of tax returns in the United Kingdom’s tax regime and processes, the rationale behind Self Assessment is that you are responsible for completing a tax return each year if you need to, and for paying any tax due for that tax year. It is your responsibility to tell HM Revenue & Customs (HMRC) if you think you need to complete a tax return. This process is called Self Assessment.

As accountants in practice and agents to the HMRC, Adroit Accountants offers the service while representing you in the whole process of self-assessment including:

1. Registration to obtain your 10-digit Unique Taxpayer Reference (UTR)
2. Ascertaining details of your untaxed income from the tax year, including income from self-employment, dividends, and interest on shares.
3. Helping with records of any expenses relating to self-employment
4. Identification of allowable expenses
5. And any other self-assessment tax returns related matters

Requirements for Self-Assessment:

You must send a tax return if, in the last tax year (6 April to 5 April), you were: self-employed as a ‘sole trader’ and earned more than £1,000 (before taking off anything you can claim tax relief on) a partner in a business partnership. You certainly must sign up for self-assessment with HMRC if you earned more than £1,000 through self-employment. This means that if your income is less than £1,000, you don’t need to declare it. If your income is more than £1,000, you will need to register with HMRC and fill in a Self Assessment Tax Return.

If you are self-employed, you always have to complete a Self-Assessment tax return (unless your trading income is exempt under the trading allowance). It does not matter whether you make a profit or loss from your self-employment, or indeed whether you actually begin to trade as self-employed once you have registered.

You have to file your Self Assessment by 31st January after the end of the tax year it applies to. Tax years run from 6th April to 5th April. You don’t have to wait, though. If you’re employed, you can submit your Self Assessment as soon as you receive your Form P60 from your employer.

Can HMRC Trace Bank Accounts? HM Revenue and Customs has wide-ranging powers to find the information they need to get people to pay tax on their income, including your bank account. Even more peripheral information can help HMRC discover undeclared income and get the Treasury’s money back.

Tax Refund:

A taxpayer is sometimes due a tax refund under some circumstances, if you think you might be due an income-tax refund and want to check your tax refund status, we are more than happy to assist you.

The taxpayer should receive the repayment within 5 days of it being authorized, but this may be slightly longer for BACS repayments due to the processing undertaken by the bank / building society for the repayment to reach the taxpayer’s account.