No Self Assesment Required?

across

CIS:i am a stay at home mum so i do not have an income at all so how much can i earn with the 'odd £15!!!' if i was to consider starting to earn?

ctm_2

robnye wrote:

i received a letter last year stating i didnt need to complete a form, but as i make charity donations throughout the year i didnt think this was right.

All you needed to do was write HMRC a short note stating how much you gave to charities and stating that you wish to claim the releif on it, and they would have done it for you without you having to fill in a tax return. Then ask for the relief to be given through your code, and eep them up to date each year with your actual giving to receive any extra back.

Savvy_Sue

across wrote:

CIS:i am a stay at home mum so i do not have an income at all so how much can i earn with the 'odd £15!!!' if i was to consider starting to earn?

I entered 'personal allowance' in the search function of the HMRC website and found this:

If you are under the age of 65 your personal allowance for the 2005-06 tax year is £4,895. This means that we will not tax £4,895 of your income in this tax year. The amount of this allowance is not affected by your income.

It usually goes up each year, but I don't know if we know yet what it is for 06-07.

ctm_2

Savvy_Sue wrote:

It usually goes up each year, but I don't know if we know yet what it is for 06-07.
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In 06/07 it will be £5,035. Was announced in the pre budget report on 5th december.

isasmurf

Savvy_Sue wrote:

It usually goes up each year, but I don't know if we know yet what it is for 06-07.
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The Personal Allowance is £5,035 for 2006/07.

PN 2 - Income Tax Allowances, National Insurance Contributions, Child And Working Tax Credit Rates 2006-07 And Fuel Duties

across

thanks savy sue that is great do i still fill in self assessment forms if i earned say upto £200 (a low figure) in a year? please can you help i know this is probably a daft question to most of you but i'm clueless with tax i'm used to just having fulltime wage and tax taken off on wageslip without doing anything!!!!!!!!!!

Savvy_Sue

across wrote:

thanks savy sue that is great do i still fill in self assessment forms if i earned say upto £200 (a low figure) in a year? please can you help i know this is probably a daft question to most of you but i'm clueless with tax i'm used to just having fulltime wage and tax taken off on wageslip without doing anything!!!!!!!!!!

AFAIK - and I am not a tax expert so someone like Cook County will jump on me if I'm wrong! - you don't have to fill in a tax return UNLESS

a) HMRC send you one - and then you must send it back even if there is only £200 income on it

OR

b) you have income on which you haven't paid tax but you should have done, in which case it is your responsibility to ask HMRC for a tax return.

So I think you're OK for a while yet!

Of course, you need to keep an eye on your income, because even though the tax man might not be interested in taking any of it off you in income tax, it MIGHT affect your entitlement to Tax Credits, especially if your partner's on a good wage which puts you near the borderline!

I always used to have my little earnings paid into a separate account that nothing else went into so that it was clear what was 'my' earnings. In theory these were savings but they got raided quite a lot ...

robnye

ctm wrote:

All you needed to do was write HMRC a short note stating how much you gave to charities and stating that you wish to claim the releif on it, and they would have done it for you without you having to fill in a tax return. Then ask for the relief to be given through your code, and eep them up to date each year with your actual giving to receive any extra back.

thanks, i will this year, last year was the first for not receiving a self assessment form.

someone else mentioned that they recieve a simple form if there where any changes in interest received.... is there one for charitable payments?

ctm_2

robnye wrote:

thanks, i will this year, last year was the first for not receiving a self assessment form.

someone else mentioned that they recieve a simple form if there where any changes in interest received.... is there one for charitable payments?

If there are certain items in your tax code, e.g an adjustment to collect the higer rate of tax due on interest, relief for certain things (pension contributions, charitable donations) etc then you will be sent a short form, a P810. It's just one A4 sheet. YOu won't necessarially get this each year though, perhaps only every other year, or once every three years.

If you are a higher rate payer, and you make charitable donations etc, then check your coding notices to check that they seem right, if youa ren't sure, ring up and check. Then after each year ends a short letter to HMRC detailing your pension contributions/charitable donations etc if you want to double check that everything is correct.