Do I submit tax returns after ceasing self-employment?

Joe2013

I was previously self-employed for several years. My tax returns would contain details of my taxable income which was solely that from self-employment and also from a small amount of UK bank interest.

I ceased trading during the '11-'12 tax year and submitted the tax return for this final '11-'12 trading year.

I am still in receipt of the small amount of UK bank interest.

Do I, or not, have to submit any further tax returns? If not, do I have to notify anyone that I am not?

Thank you.

zygurat789

You have to submit all future tax returns you are sent otherwise you will be fined

Joe2013

I wasn't sent the tax returns as I completed them online.

PlutoinCapricorn

There is a "ceased trading" date on the return which you are supposed to fill in if you decided to stop freelance work during that tax year. This is the way to notify HMRC officially. Some people do phone as soon as they stop so that they can cancel their Class 2 NI, but it is best to do it at return time. If you are still getting reminders to complete, HMRC think that you are still self employed.

Joe2013

Thank you.

PlutoinCapricorn wrote: »

There is a "ceased trading" date on the return which you are supposed to fill in if you decided to stop freelance work during that tax year. This is the way to notify HMRC officially.

Yes, that was done.

PlutoinCapricorn wrote: »

Some people do phone as soon as they stop so that they can cancel their Class 2 NI, but it is best to do it at return time.

Class 2 NI was stopped at the point of ceasing trading.

PlutoinCapricorn wrote: »

If you are still getting reminders to complete, HMRC think that you are still self employed.

No I haven't received any.

cotswoldaccountant

The best thing to do would be to give HMRC a call, to ensure that they are not expecting you to complete any more tax returns.

If returns are completed online, they would still send you a paper notification to complete a return, but these notifications would not have been sent out yet for the 2012-13 tax year (which does not end until 5 April 2013).

It is always best to check these things, so a quick call to the HMRC Self Assessment helpline on 0845 900 0444 with your NI number as a reference should clarify the position.

Joe2013

cotswoldaccountant wrote: »

It is always best to check these things, so a quick call to the HMRC Self Assessment helpline on 0845 900 0444 with your NI number as a reference should clarify the position.

Thanks for the telephone number cotswoldaccountant.