Personal tax return

All individuals are subject to personal tax. If your only source of income is from employment you are unlikely to need to complete a tax return as your employer will deduct tax automatically.

A sole trader running their own business must prepare business accounts for each separate business and include them in an annual tax return. As a freelancer or a director of a company you are required to register this fact with HMRC. The deadline for registering as self-employed is 5th October following the end of the tax year. When you register for the first time you’ll get a Unique Taxpayer Reference (UTR) number. If you are re-registering you need to use the same UTR the HMRC have already provided.

2016 tax return

Your self-assessment return for personal tax is always for the period from 6th April to 5th April of the following year.

The 2015 to 2016 tax year ends 5 April 2016. The main deadlines are:

paper tax returns – midnight 31 October 2016

online tax returns – midnight 31 January 2017

final payment of any tax due – midnight 31 January 2017

Alterledger submits all tax returns online so you can be sure that they are received promptly by HMRC. Please bear in mind that as the January deadline approaches accountants tend to be busier and fees will increase accordingly. To keep the cost of your tax filing service down don’t leave it to the last minute.  If you provide all the information required for your 2016 tax return by 30th June 2016, Alterledger will give you a 10% discount on your fees.  This will save you money and also give you longer to budget for the tax due on 31st January 2017

If you use Alterledger for your bookkeeping or business accounts you can have an add-on for your personal tax at a fixed fee to ensure that there are no surprises with accountancy charges.

Business accounts

Your business accounts are not tied to the same financial year as personal tax, but in some cases it is easier to have a 31st March year end. An unincorporated business will be included in your personal tax return. Limited companies are subject to Corporation Tax and taxed as a separate legal person from its owners. Corporation Tax is calculated over a maximum period of 12 months corresponding to the year end of the company. The following deadlines apply to private limited companies registered with Companies House:

File annual accounts with Companies House9 months after your company’s financial year ends
File a Company Tax Return12 months after your company’s financial year ends
Pay Corporation Tax9 months and 1 day after your company’s financial year ends

For a fixed fee payable by monthly standing order, we can take care of your financial accounts, VAT administration and prepare your annual tax returns.Although the deadlines above are all different, as a rule of thumb it is a good idea to file your company accounts and Corporation Tax return within 9 months of your year end so you know how much tax to pay.