Self Assessment Tax Return process

The purpose of this video is to briefly explain how we do your self-assessment tax return.

Start to finish, the process

This video takes you through the whole process from start to finish, so if you ever get stuck and you are not sure what you’re supposed to be doing this article will explain. The self-assessment tax return is for the year, normally from the 6th of April to the 5th of April, but I know some people have a 30th of April as their year-end or a 31st of March year-end, or even a 31st of August year-end. It really depends on what happened when you first started being self-employed, but they all fit into a general tax year. So it doesn’t matter what your year-end date, you will still have to go through this process.


Checklist for The Self Assessment Tax Return process with Performance Accountancy

Now, the first thing that normally happens is I send out a checklist. There will be a word document that explains all the information you might have, for example, your PAYE income self-employment dividends interest. This three-page document explains exactly what data we need for your tax return attached to that document. There is a manual tick list, or there’s a link to where you can find an online version.

You can easily upload any documentation you want us to have in a secure environment, for example, a copy of your P 45 C. When you complete the checklist you can either email us the data or if you’ve got access to the client portal, then you can log into the client portal and add your data in the documents sector.

Client portal

If you want to know more about the portal we have,  give me a quick call or email.

Confirming data

The reason it’s important to do this is things change year on year. And I’m not going to know if all of a sudden you have another child or your first child, and you’re claiming child benefit. If you’re earning over 50,000 pounds and you have to pull back some of that child benefit, but if I don’t put it in HMRC, then get stroppy, and will potentially open an investigation onto your tax return as to why you didn’t complete this box. So that’s why it really is important to have this checklist from you, either the manual one or the automated one.

Preparing your Self Assessment Tax Return process with Performance Accountancy

Once I get the checklist I can then begin to prepare your tax return, I use excel because then I can cross-reference all the different cells using your bookkeeping records to extract the data automatically.

You then get a summary of the data in an Excel format. So here’s just an example of what your income might look like. There’s a lot more information below that for things like your various taxes, etc. The Excel file is linked to various different sheets for this type of income or any expenses. So having done that in Excel, I will then load it into the HMRC portal. I use the HMRC portal because it’s free and we might as well use something free instead of having to charge clients fifty to a hundred pounds for licence fees.

Tax agent

You get a code through that you’ve given to me and I sign up as your tax agent, then I am able to use the HMRC system on your behald.

If I am not signed up as your tax agent, we do have other methods of doing it, but they incur extra costs. And I don’t like to charge people extra costs.

We do a draft, we get it into the HMRC system, and then we send it to you for review. If you’re not happy with numbers, we can do a video and try and talk you through the numbers, feel free to ask any questions. Cause there may be things you have not come across before.

If this is the first time working with us, then you might not be sure what we’re talking about some of the time. And of course, I might’ve forgotten something or you might turn around and say, ooh, I forgot I had employment from somewhere that only lasted three weeks. So things sometimes pop out of the woodwork. So it’s really important that you do review it just to make sure I have captured everything.

Adobe sign

Adobe Sign for The Self Assessment Tax Return process with Performance Accountancy

We will then load it to something called Adobe sign, a secure signature process. Adobe sign then sends it to you. I will then email you the instructions on where you can find the signature page. Please then review the tax return again to double-check and make sure everything is in there that you believe should be in there, for dividends, interest, child benefit, any coronavirus grants, etc…

Once you apply the signature ensure you click the “confirm” button at the bottom. (If it’s your first time using it, you’ll probably find that confirm button is hidden behind the cookies bar, just remove the cookies bar and then you should see and be able to click the confirmation button).

Once you have signed that document (it’s very exciting). It will then automatically send you a copy and me a copy. Then I will go onto the HMRC website and I will tick the box that you’ve read and understood. And I will then submit your tax return. We then get a submission receipt. I will download this and email you a copy to state that yes, your tax return has been filed and here’s the evidence it’s been filed.Filing to HMRC for The Self Assessment Tax Return process with Performance Accountancy

Filing to HMRC for The Self Assessment Tax Return process with Performance Accountancy

Pay your tax bill

And then technically that’s you done! Obviously, you still have to pay your tax bill.  I’m not paying it for you,  I don’t do that. I will also then send you an invoice. Normally my work is billed to you at the end of the whole process unless you send me your stuff in January and then I will invoice you for the work before I file it.

Remember if you’ve got to pay a tax bill in July for the second payment of an account. You need to remember that HMRC sometimes sends statements to say, you need to pay this. Sometimes they don’t. So just make a diary note of when you have things to pay. If you go into your government gateway or your digital personal tax account, you will see that the return has been filed.

It takes time (72 hours +)

So you can see when I submitted it, it tends to take 72 hours for it to go through all the HMRC systems and to recieve confirmation that they have received it. So at the moment, this one hasn’t yet been received because it’s only just being filed. Of course, any problems, feel free to email or phone or book an appointment in my diary. And I’m sure we’ll be able to help you. An

And that really is it. That is the self-assessment process!

So thanks very much for watching the video and reading all about the Self Assessment Tax Return process.

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