What year does tax get paid?

bzzzzzt

a simple question - If I did some work in one tax year but was did not receive a cheque until the next tax year, is the tax due for the year I did the work or the year the money reached my bank?

chriiiiiiiis

Year it reached the bank.

tyllwyd

I'm self-employed, and I go by the date of my invoice not the date of payment when I'm doing my tax return. I thought that was the right thing to do?

Elaine_Wilson

It might be a simple question but the answer is not quite as straightforward. It depends on the type of income.

Employment iincome is taxed according to the date it is paid or made available to the employee.

Self employed income is taxed according to the year in which the work was done. Income from property also follow this principle.

Most other sources of income follow the date received method.

bzzzzzt

thanks, Elaine