Income Tax and Self Assessment

Income Tax and Self Assessment

Since the introduction of self assessment returns, the responsibility for calculating the correct amount of tax and National Insurance payable has moved from the Inland Revenue to the taxpayer. Unfortunately, although there is much debate about tax simplification, in reality the procedures only ever seem to become more time consuming.

File your return late and penalties are payable, get it wrong and further penalties are incurred and so it goes on, with the possibility of interest compounding on top of penalties.

Self assessment tax return

I can save you a lot of time and worry by completing your self assessment tax return for you. I will prepare your returns for you to sign, submit your returns to the correct office (or if possible file your self assessment tax return online) and deal directly with HMRC on your behalf.

Minimising your self assessment payments

More importantly, I can assist you to minimise your tax bill and keep more of the money that you have worked so hard to earn. I will ensure that all allowable expenditure is included in your tax computation.

Individuals often end up over-paying tax due to confusion over the treatment of such costs as motoring expenses, use of home as office, capital allowance claims, payment of wages to a spouse.

I act for a number of clients who are part of HMRC's Contruction Industry Scheme (CIS). Most are registered as sub-contractors and some are also contractors. Many of the sub-contractors are due HMRC refunds and it makes sense to lodge claims for these as soon as possible after the end of the tax year. The contractors need to file monthly CIS returns online stating what deductions they have made and to whom. There are heavy penalties for failing to file the returns on time and I can help you to meet your obligations.

I'm also happy to advise individuals on Capital Gains Tax (CGT) issues. This often arises on the sale of a property which has been let and so is not covered by the Principle Private Residence exemption. Each individual has a CGT exemption amount (£11,300 in 17/18) and it can be useful to utilise both a husband and a wife's exemption against any gain. Forethought and tax planning is the key here.

Inheritance tax is a political football. At present the threshold at which it becomes payable is £325,000 (2017/18). Various planning measures can be taken to minimise any inheritance tax payable and again I am happy to discuss and advise.