Does the thought of filing your Self Assessment tax return make you nervous? Are you new to Self Assessment and unsure where to begin? While some people file their returns at the start of the tax year, if that's not you, don't worry – you're not alone.
At Azar Accounting, we understand that filing your tax return can seem daunting, especially if you're not technically inclined. However, with proper preparation and guidance, the process can be more straightforward than you might think. This comprehensive guide will walk you through everything you need to know about filing your Self Assessment tax return online.
Do You Need to File a Self Assessment Tax Return?
While most employees and pensioners have their tax deducted automatically through PAYE, you'll need to complete a Self Assessment tax return if you have other sources of income. You must file a return if:
You were self-employed as a sole trader in the last tax year (6 April 2023 to 5 April 2024) and earned more than £1,000
You have additional income from freelancing or a side hustle that, combined with your PAYE income, exceeds your tax-free allowance of £12,570
You're a partner in a business partnership
You're a company director with income not taxed at source
You have income from property rental
You earned tips or commission
You have income from savings, investments, or dividends
You receive foreign income
Even if your primary income is from wages or pension, you might need to file a return if you worked in specific sectors or earned more than £100,000 via PAYE.
Key Dates and Deadlines for 2024/25
Mark these crucial dates in your calendar:
5 October 2025: Deadline to register for Self Assessment
31 October 2024: Paper filing deadline
31 January 2025: Online filing deadline and first payment deadline
31 July 2025: Second payment on account deadline
Understanding Payments on Account
After your first tax return, you may need to make two payments towards your upcoming tax bill. These payments on account are each half of your previous year's tax bill. However, you won't need to make these if:
Your last Self Assessment tax bill was under £1,000
You've already paid more than 80% of all tax you owe at source
How to Register and File Online
Online filing is increasingly popular, with 96% of returns now submitted digitally. Here's how to get started:
Register for an HMRC online account
Wait for your activation code (allow 10 working days)
Gather necessary documentation:
Unique Taxpayer Reference (UTR)
National Insurance number
P60, P11D, or P45 if applicable
Bank statements
Business records if self-employed
Essential Record Keeping
Keep all records used to complete your return for up to five years after the 31 January deadline.
This includes:
Sales and income records
Business expenses
Bank statements
Receipts
VAT records (if registered)
PAYE records (if employing others)
Understanding Allowable Expenses
If you're self-employed, you can deduct certain costs to calculate your taxable profit. Common allowable expenses include:
Office costs (stationery, phone bills)
Business premises costs (heating, lighting, business rates)
Professional fees (accountant or legal services)
Staff and subcontractor costs
Financial costs (insurance, bank charges)
Marketing and advertising expenses
Travel and accommodation for business
Uniform or protective clothing (not regular business attire)
Late Filing Penalties
Missing the deadline can be costly. Penalties include:
An immediate £100 fine for late filing
Additional daily penalties after three months
Further penalties and interest for continued delays
Why Consider Professional Help?
While doing your tax return yourself can save money initially, many business owners find that professional assistance is a worthwhile investment.
An accountant can:
Ensure all allowable expenses are claimed
Keep you updated on tax rule changes
Help avoid costly mistakes
Handle any HMRC queries
Save you time to focus on your business
Potentially save you money through tax planning
How Azar Accounting Can Help
At Azar Accounting, we specialise in making the Self Assessment process stress-free. Our services include:
Full tax return preparation and filing
Year-round tax planning advice
Expense optimisation
HMRC correspondence handling
Digital record-keeping support
Frequently Asked Questions
When should I start preparing my tax return? The earlier, the better. Starting early gives you time to gather all necessary documentation and seek professional advice if needed.
Can I claim for working from home? Yes, you can claim either simplified expenses using HMRC's flat rate or calculate the actual costs of your home office use.
What if I make a mistake on my tax return? You can amend your tax return within 12 months of the original deadline. However, it's best to get it right first time by double-checking all figures or seeking professional help.
Get Expert Support
Don't let Self Assessment stress you out. Contact Azar Accounting today at 07754912009 or email info@azaraccounting.com for professional, reliable support with your tax return.
Our experienced team in Blackheath is here to help you navigate the process smoothly and ensure you meet all deadlines while maximising your allowable expenses.