How To File Self Assessment Tax Return 2025 💷📄

Name: How To File Self Assessment Tax Return 2025 💷📄
Uploaded: 2022-12-05T19:00:16.000Z
Duration: 1 h 36 min 57 s

Filing Self-Assessment Tax Return Walkthrough

In this video, Tesh provides a step-by-step walkthrough of filing a self-assessment tax return. He emphasizes that he is not an accountant or professional tax advisor but hopes to provide insight and guidance.

Accessing the Official Gov.uk Website

Click on the self-assessment tab on the official gov.uk website.

Various options are available, but focus on signing in and filing a tax return online.

Eligibility for Online Filing

Online filing is suitable for self-employed individuals or those who need to file a tax return due to rental income or other reasons.

The online service also allows users to view previous returns, check details, and print tax calculations.

If you haven't filed a tax return before, you must register for self-assessment first.

A Unique Taxpayer Reference (UTR) number is required for first-time filers, and Tesh has created a separate video explaining how to apply for one.

Limitations of Online Filing

Online filing cannot be used for partnerships, trusts, non-residents living abroad, reporting multiple chargeable gains from life insurance, income from trusts, Lloyd's underwriters, or religious ministers.

Signing In with Government Gateway

Use the government Gateway user ID (up to 12 characters) and password to sign in.

Two-factor authorization process requires entering the access code sent via text message.

Business Taxes and Timeframes

After signing in, access your business taxes in one place.

Payments may take up to seven working days to show depending on the payment method.

Tax calculation updates may take up to two days after completing the return.

Completing and Filing the Self-Assessment Return

The letter received from HM Revenue & Customs reminds users about completing and filing their returns by January 31, 2023, to avoid penalties.

Click on "Complete and File Tax Year 2021-2022 Self-Assessment Return" to proceed.

Note that not everyone can use this service, and some may need alternative software based on their circumstances.

Eligibility for Online Filing

Online filing is suitable for individuals who received various types of income, including employment income, self-employment income, partnership income, UK property income, pensions, UK interest dividends, foreign income, capital gains, and child benefit for earners over £50,000.

Accuracy in entering the correct amounts in the appropriate boxes is crucial to avoid payment errors.

Filing Self-Assessment Tax Return Walkthrough

In this section of the video transcript, Tesh continues his walkthrough of filing a self-assessment tax return online.

Reviewing the Return

Before proceeding with filing the return online, it's important to review the information provided.

Submitting Alternative Software

Some individuals may need to use alternative software if they are not living in the UK or claim the remittance basis due to having foreign income and gains.

Finalizing and Submitting the Return

Click on "File Your Return" after reviewing all details.

Importance of Accurate Reporting

Ensure accurate reporting to prevent being asked to pay incorrect amounts.

Completion Confirmation and Balance Update

After submitting the return online, it may take up to 72 hours for your balance to update. If it doesn't update within this timeframe, contact the self-assessment helpline for assistance.

Personal Information

The speaker discusses the personal information required for the form, including National Insurance number, telephone number, email address, and address confirmation.

Personal Information Details

National Insurance number is optional but already pre-filled.

Telephone number and email address are also optional.

Address confirmation is required.

Taxpayer Residency Status

The speaker selects their taxpayer residency status based on living in England. They also provide their date of birth and marital status.

Taxpayer Residency Status Details

Select English and Northern Irish as the taxpayer residency status.

Date of birth is already pre-filled.

Marital status is optional.

Student Loan Notifications

The speaker answers questions regarding student loan notifications from the Student Loans Company.

Student Loan Notifications Details

Not registered blind or on any local authority register.

No notification received for repayment of an income contingent student loan before April 6th, 2022.

No notification received for repayment of a postgraduate loan before April 6th, 2022.

Mandatory Questions

The speaker explains that three questions must be answered regarding student loans. Leaving them blank will result in an error message.

Mandatory Questions Details

Answer "no" to all three mandatory questions regarding student loans.

Leaving these questions blank will trigger an error message.

Tailor Your Return Page

The speaker proceeds to save their progress and continues to the "Tailor Your Return" page. This section aims to ensure relevant questions are answered and all income is included.

Tailor Your Return Page Details

Save and continue to the "Tailor Your Return" page.

Include all income, even if it has been taxed at source.

The page provides guidance on completing the employment section for individuals with employment history.

Employment Section

The speaker confirms having had employment during the tax year and being self-employed as a YouTuber. They answer questions related to their employment status.

Employment Section Details

Confirm having had full-time employment and running a self-employed business (YouTube channel).

Answer "yes" to being an employee or director or office holder or agency worker.

Click on the provided link for more information about different roles.

Help About Employee/Director/Office Holder/Agency Worker

The speaker clicks on a help link that provides information about employee, director, office holder, or agency worker roles.

Help About Employee/Director/Office Holder/Agency Worker Details

Information is provided about various roles such as employee with pay/benefits, director with pay/benefits, office holder, agency worker receiving payments/benefits.

If none of these apply, select "no."

Number of Employments or Directorships

The speaker indicates the number of employments or directorships they had during the tax year.

Number of Employments or Directorships Details

Select one as the number of employments/directorships held.

Provide the name of the employer.

Self-Employment Registration and Turnover

The speaker answers questions regarding self-employment registration and turnover. They also mention receiving a coronavirus support scheme grant.

Self-Employment Registration and Turnover Details

Answer "yes" if turnover was more than £1,000 from all self-employments.

Click on the provided help link for information about coronavirus support scheme grants.

Number of Self-Employed Businesses

The speaker indicates the number of self-employed businesses they have and provides the name of their business.

Number of Self-Employed Businesses Details

Select one as the number of self-employed businesses.

Provide the name of the business.

Partnership and UK Land/Property Income

The speaker confirms not being in a partnership and not receiving income from UK land or property over £1,000. They mention checking help for foreign income details.

Partnership and UK Land/Property Income Details

Select "no" for being in a partnership.

Confirm no income received from UK land or property over £1,000.

Check help before selecting if there is any foreign income.

Capital Gains Section

The speaker mentions that completing the capital gains section is necessary if there were chargeable assets, chargeable gains, allowable losses, or other claims/elections.

Capital Gains Section Details

Select "yes" to complete the capital gains section if applicable.

Report capital gains and attach computations if chargeable assets worth more than £49,200 were disposed of or chargeable gains were made.

Filing Tax Return - Interest, Dividends, and Pensions

In this section, the speaker discusses various aspects related to interest income, dividends, and pensions in the tax return filing process.

Interest Income

If you received any interest from UK banks, building societies, unit trusts, or untaxed foreign interest up to £2,000 during the tax year (6th April 2021 to 5th April 2022), select "Yes" and provide details.

If your savings are in a NISA (New Individual Savings Account) where interest and dividends are tax-free and do not need to be included in your self-assessment tax return, select "No".

Dividends

If you received any dividends from UK companies, authorized unit trusts, open-ended investment companies or foreign companies up to £2,000 during the tax year (6th April 2021 to 5th April 2022), select "Yes" and provide details.

If you did not receive any dividends within the specified limit, select "No".

Pensions and State Benefits

If you received any UK pension annuities or state benefits such as State Pension, occupational pension, retirement annuity or incapacity benefit during the tax year (6th April 2021 to 5th April 2022), select "Yes" and provide details.

If you did not receive any of these benefits during the specified period, select "No".

Child Benefit

Select "Yes" if you or your partner received child benefit for a child who lives with you and pays you for their upkeep during the year 2021-2022. Otherwise, select "No".

Coronavirus Support Payment

Select "No" if you did not incorrectly claim an amount of coronavirus support payment.

Other UK Income

Select "No" if you did not receive any other UK income such as employment lump sums, share schemes, or life insurance gains during the tax year (6th April 2021 to 5th April 2022).

Income Tax Losses

Select "No" if you did not make any income tax losses in the year 2021 to 2022.

Pension Contributions

Select "No" if you did not make contributions towards a personal pension or retirement annuity during the tax year (6th April 2021 to 5th April 2022). This does not include payments made to your employer's pension scheme deducted from your pay.

Charitable Donations

Select "Yes" if you gave a gift aid donation to charity, community amateur sports club, or a gift of qualifying shares, securities, land, or buildings to a charity. Otherwise, select "No".

Married Couples Allowance and Personal Allowance Transfer

If applicable, select whether you want to claim married couples allowance or transfer part of your personal allowance to your spouse or civil partner. Read the help section for more information on eligibility and benefits.

Tax Reliefs and Deductions

Select "No" if you do not want to claim any additional tax reliefs and deductions such as community investment tax relief or venture capital trust shares.

Tax Advisor and Tax Avoidance Schemes

If you have a tax advisor assisting with your return filing process, select "Yes". Otherwise, select "No".

If you have used one or more tax avoidance schemes in the specified tax year (6th April 2021 to 5th April 2022), select "Yes". Otherwise, select "No".

Conclusion

The speaker concludes by stating that they do not have a tax advisor, have not used any tax avoidance schemes, and may not be earning enough to use such schemes.

The transcript is already in English.

Progress Page Overview

The progress page shows the sections that have been entered and those that still need to be completed. It provides information on how to change any information and warns about inaccurate entries.

Entering Employment Information

To enter employment information, select the "Employment" section on the progress page.

Click on "Enter Income" under the employment section.

Provide your employer's name and complete the required questions.

Use your P60 or P45 to answer the questions regarding pay and tax deductions.

Employer's PAYE Reference

The first question is about your employer's PAYE reference.

You can find this information on your P45 or P60.

If your employer doesn't have a PAYE reference, you can enter "none".

Pay from Your Employer

Enter the total pay before tax taken off from your P45 or P60 in box one.

If you received furlough payments, include them as well.

If you had multiple jobs, use separate employment pages for each job.

UK Tax Taken Off by Employer

Enter any tax deducted from your pay by your employer as shown on your P60 or payslips in this box.

Do not include foreign tax here.

If there is an "R" next to the tax deducted figure on your P60, enter it as a negative value.

Tips and Other Payments

Tips received directly from customers should not be included in this section.

Leave the section for other payments blank if applicable.

Director of Company and Off-Payroll Working Engagements

Answer whether you were a director of the company (yes/no).

Answer whether this employment income is from inside off-payroll working engagements (optional).

Employment Benefits and Expenses

If you had company benefits such as a company car or private medical insurance, select "yes" for the first question.

If you want to claim expenses such as using your car for work or professional subscriptions, select "yes" for the second question.

Claiming Employment Expenses or Capital Allowances

Answer whether you wish to claim any employment expenses or capital allowances while working for your employer.

Taxable Benefits and Expense Payments

This section covers taxable benefits and expense payments received from your employer.

Taxable Benefits and Expense Payments

All benefits and expenses provided by your employer should be added to your income.

Examples include company cars, fuel, interest-free loans, and private medical insurance.

Answer whether you have received any taxable benefits and expense payments from your employer.

Claiming Employment Expenses or Capital Allowances

Answer whether you wish to claim any employment expenses or capital allowances while working for your employer.

Using Your Own Vehicle for Work

This section discusses the deductions for expenses related to using your own vehicle for work and how it may affect your PAYE tax code.

Deductions for Expenses

Fixed deductions for expenses, professional fees, subscriptions, and other expenses.

Capital allowances.

Your PAYE tax code may be affected by the information you provide in your tax return if submitted before January 1, 2023.

If you expect your expenses to change during the 2022-2023 tax year, inform HMRC to update your PAYE tax code.

Additional Information for Employer

This section provides an opportunity to provide any additional information about your employment.

Employer Information

Clicking on "Help" provides guidance not to include questions in this box as specific questions cannot be answered about the tax return.

Enter any additional information that supports your entries.

Optional field.

Details About Self-Employment

This section collects information about self-employment during the specified tax year.

Annual Turnover

Did you have an annual turnover of £80,000 or more?

Turnover includes total sales takings, fees, money earned by the business until the date of books and accounts are made up.

It also includes taxable coronavirus support payments received.

Circumstances of Self-Employment

This section allows selection of circumstances that apply to self-employment. If none apply, select "None of these apply."

Selection Options

Choose from various circumstances that apply:

Foster carer or shared lives carer.

Adjustment to profits chargeable to class 4 National Insurance contributions.

Farmer market gardener or creator of literary or artistic works, claiming averaging adjustments.

Practicing barrister.

Changed accounting dates.

Self-employed period differs from accounting period due to contracts for professional or other services spanning accounting dates.

Business carried on abroad, wishing to claim overlap relief.

Total turnover is £1,000 or less but wish to claim back tax deducted under the construction industry scheme.

Business Details

This section collects details about the business.

Business Name and Description

Pre-populated entry from the information provided in the tax return section.

Enter your own name or trading business name.

Provide a description of the business trade or profession (e.g., digital content creator).

Accounting Details

This section collects information about accounting details for self-employed individuals.

Books and Accounts

Date books or accounts are made up to should be set as the end of the tax year (April 5, 2022).

Cash Basis

Cash basis is a simpler way of calculating business profits or losses.

Add up all business income received and deduct allowable expenses paid within the accounting period.

Summary and Conclusion

This section concludes with final questions related to accounting details.

Final Questions

Answer additional questions related to:

Use of cash basis for income and expense calculations.

End of Section

Restricting Claims to Certain Expenses

This section discusses how to restrict claims to certain expenses and provides an option to check and amend the entry if any mistakes were made.

Restricting Claims

You can restrict claims to certain expenses.

Capital allowances and loss relief claims are included in this restriction.

You have the option to check and amend the entry if any mistakes were made.

Income and Turnover

This section explains income and turnover for self-employed individuals, including what should be included in the turnover calculation.

Income for Self-Employed Individuals

Income includes takings, fees, sales, or money earned by your business.

Do not include self-employment Income Support scheme grants in this box; put them in the SEISS box in the other tax adjustment section.

Turnover consists of total sales, takings, fees, or money earned by your business up until the date your books and accounts are made up.

It includes all payments received through cash, card, check, or any other method.

Tips, commissions, and payments in kind for work done or goods sold should also be included in turnover.

Other Business Income

Do not include self-employment Income Support scheme grants but include other coronavirus support payments such as the Coronavirus Job Retention Scheme.

If you don't have any other business income apart from turnover, leave it blank.

Trading Income Allowance

This section explains trading income allowance and its implications on reporting taxable profits.

Trading Income Allowance

If your total receipts from self-employment and miscellaneous income are £1,000 or less:

They are exempt from tax reporting unless they include a self-employment Income Support scheme grant.

You can claim up to £1,000 trading income allowance.

No allowable expenses or other allowances can be deducted if you claim the trading income allowance.

If your turnover exceeds £1,000:

You can calculate your trading profits by deducting allowable expenses and allowances.

In this case, you cannot claim the trading income allowance.

If your allowable expenses are higher than your turnover and you want to claim relief for the loss, you cannot claim the trading allowance.

Expenses

This section explains how to record business expenses and the implications of claiming the trading income allowance.

Recording Expenses

You can choose to record your expenses as either a single total value or as a detailed breakdown.

If you have claimed the trading income allowance, you cannot deduct any allowable business expenses or simplified expenses.

Capital Allowances and Balancing Charges

This section discusses capital allowances for certain buildings and equipment used in your business. It also mentions restrictions when claiming the trading income allowance.

Capital Allowances

You can claim capital allowances for certain buildings and improvements to equipment and machinery used in your business.

If you have claimed the trading income allowance, do not complete the capital allowance boxes.

Other Tax Adjustments

This section covers other tax adjustments that may apply, such as goods or services for personal use and self-employment losses from previous years.

Goods or Services for Personal Use

Enter any goods or services used for personal use in this box.

Include self-employment Income Support scheme grants received in the year up until April 5th, 2022.

Net business profit for tax purposes is calculated automatically based on entered figures.

Losses

This section explains how to enter self-employment losses and their optional nature.

Self-Employment Losses

Use the self-employment losses worksheet to enter information about losses.

The boxes for losses are optional and may not apply in all situations.

Tax Deducted

This section discusses registering as a construction industry subcontractor and the benefits of doing so.

Registering as a Subcontractor

If you haven't registered with HMRC as a construction industry subcontractor, you can do it here.

Registering allows contractors to make deductions at 20%.

The transcript is already in English.

New Section

This section discusses various options related to state pension age, residency for tax purposes, and specific roles that may exempt individuals from certain contributions.

Options for State Pension Age and Tax Residency

If you are at or over state pension age as of April 6, 2021, or if you are under 16 on the same date, certain options apply.

If you will not be a resident in the UK for tax purposes during the tax year ending on April 5, 2022, different rules may apply.

Being a trustee, executor, administrator, diver, or diving supervisor can also have implications for your contributions.

New Section

In this section, we explore the option of selecting "None of these apply" and its impact on Class 4 National Insurance contributions.

Selecting "None of these apply"

If none of the previously mentioned options apply to your situation, select "None of these apply."

By selecting this option, you will not be exempt from Class 4 National Insurance contributions.

New Section

Here we provide additional information about your business and any relevant details to support the entries made on the self-employment form.

Providing Additional Information

Use the space provided to enter any additional information that supports your business entries on the self-employment form.

If there is no further information to add, leave this box blank.

New Section

This section provides a summary of various financial aspects related to your business income and taxable profits.

Summary of Business Income and Taxable Profits

The summary includes details such as total allowable expenses, profit or loss, capital allowances, balancing charges, tax adjustments, and total taxable profits or net business loss before any set-offs.

These figures are automatically calculated based on the entries made in the form.

New Section

Here we discuss Class 2 National Insurance contributions based on your profits.

Class 2 National Insurance Contributions

If your profits are £6,515 or more, you must pay Class 2 National Insurance contributions. If your profits are less than this amount, payment is not required unless you choose to pay voluntarily.

The current rate for Class 2 National Insurance contributions for the tax year 2021-2022 is £3.05 per week.

Your self-employment record will indicate if you owe any Class 2 National Insurance contributions.

New Section

This section provides further information about voluntary payment of Class 2 National Insurance contributions.

Voluntary Payment of Class 2 National Insurance Contributions

If your profits for the tax year are below £6,515, you may consider paying Class 2 National Insurance contributions voluntarily to protect your entitlement to state pension and certain benefits.

Before making a decision, it is recommended to review the help section for detailed information on how not paying may affect you.

New Section

This section addresses underpaid tax included in the PAYE coding.

Underpaid Tax Included in PAYE Coding

If your tax code includes an adjustment for underpaid tax from previous years, confirm if the figure shown is correct.

Select "Yes" if the amount is correct and "No" only if the amount shown is incorrect.

New Section

This section continues to discuss underpaid tax included in the PAYE coding.

Underpaid Tax Included in PAYE Coding (Page 2)

Confirm if your paye notice of coding for 2021-2022 includes an adjustment for tax on debt. Select "Yes" if it does, even if the figure is zero.

New Section

Here we address outstanding debts included in your tax code.

Outstanding Debt Included in Tax Code

Enter zero if there is no outstanding debt shown or you did not have a paye code. Select "Yes" if this section does not apply to you and there is a zero present.

New Section

This section covers overpaid tax and repayment options.

Overpaid Tax and Repayment Options

If you believe you have paid too much tax, inform HM Revenue and Customs where you want any repayment to be sent. Repayment will first be attempted to the credit or debit card used for payment before other methods are considered.

Alternatively, repayment can be made directly to your bank or building society account, which is considered the safest and quickest method. You may also authorize a nominee to receive your repayment. Allow up to four weeks before contacting HMRC regarding the repayment.

New Section

This section discusses filing and submitting your tax return if you owe below £3,000 in tax.

Filing Tax Return for Owed Tax

If you owe below £3,000 in tax for the tax year 2021-2022 and want HMRC to collect it through your paye tax code for the following year, you must file and submit your online tax return by December 30, 2022. After this date, collection through paye tax code is not possible.

New Section

This section discusses tax adjustments and provisional figures in the tax return.

Adjustments to Tax Due

If you are likely to owe tax for the current tax year on income other than employed earnings or pensions, such as savings or the high income child benefit charge, select "null" for not having it collected through your PAYE tax code.

If you need to make any adjustments to increase or decrease your tax due for the previous tax year, such as claiming averaging for Farmers or creators of literary or artistic work, select the appropriate options.

Any repayment will be in the form of a credit on your self-assessment statement of account and will not affect the amount of tax National Insurance contributions payable for that year.

Provisional Figures

If your return contains provisional figures, provide details on the next page. Select "yes" if this return contains provisional figures; otherwise, select "no."

Enter any additional information needed to support the entries made in the return. Note that figures entered here will not be included in the tax calculation.

Checking Your Return

Use this section to check that all relevant questions have been answered based on your circumstances. It confirms whether you are in a partnership, received income from property or foreign earnings, disposed of chargeable assets, claimed allowable loss, made any other claim or election. Update any missed information if necessary.

Viewing Your Calculation

After checking your return, proceed to view your calculation summary which provides you with the result of your calculation. Carefully review all figures and amounts before saving and submitting your return. The total amount due for that tax year is displayed along with the first payment on account for the following tax year.

Note that HMRC will allocate your payments against any Class 2 National Insurance contributions first, unless you have outstanding debts. The second payment on account for the following tax year will be due by a specific date.

Reducing Payments on Account

If you want to reduce your payments on account for the following tax year, select the appropriate options based on your expected income and allowances or reliefs.

The transcript is already in English, so no language conversion is required.

Viewing, Printing, and Saving the Return

The speaker explains that users have the option to view, print, or save a copy of their return on their own computer. They can submit their return by clicking the "Save and Continue" button at the bottom of the page.

Users can choose between a black and white copy or a color copy of their return.

The returns can be viewed and saved as PDFs or printed for hard copies.

Declaration and Submission

The speaker discusses the declaration process before submitting the tax return. Users must read and agree to certain statements by ticking checkboxes. False information may result in financial penalties and prosecution.

Users need to tick the final declaration stating that all coronavirus support payments received have been included as taxable income.

If support payments were only received due to being furloughed as an employee, there is no need to complete this section.

Re-entering Sign-in Details for Government Gateway

After submitting the declaration, users are prompted to re-enter their sign-in details for Government Gateway.

Users need to enter their Government Gateway user ID number and password.

Two-factor authentication is required, which involves entering a six-digit access code sent to their mobile number.

After entering the access code, users can click on "Continue" to proceed with submitting their return.

Submitting the Return

The speaker explains that after entering sign-in details, users can submit their tax return. There may be a short delay while it is being submitted. It is advised not to log out during this process.

A notification will confirm if the return has been successfully received by HMRC.

A submission receipt reference number is provided, which should be kept for reference.

It takes up to 72 hours for HMRC to process the return and update their system.

Checking Return Status and Making Payment

After 72 hours, users can check the status of their return and make a payment if necessary.

Users can log back into their account to correct any errors or review the information provided.

The balance owed is displayed, along with the deadline for payment.

To make a payment, users can click on "Make a Self-Assessment Payment" and select the amount to pay.

Simply Tax - Online Platform for Self-Assessment

The speaker introduces Simply Tax, an online platform focused on helping people with self-assessment tax returns. They emphasize the comfort of having qualified accountants handle tax affairs using technology.

Simply Tax is fully regulated and offers assistance with self-assessment tax returns.

The platform aims to make staying up-to-date with HMRC more manageable through technology.

Interested viewers can find more information about Simply Tax in the video description.

Conclusion

The transcript provides step-by-step guidance on viewing, printing, saving, declaring, submitting, checking status, and making payments for a tax return. It also introduces Simply Tax as an online platform for self-assessment tax returns.