Tax return form for 2019 - 2020 for self employed

stevec59

Hello All,
Last year (October 2018) I set myself up as self employed and registered as such on HMRC, I only work part time, so my Income was less than £1,000, so fairly simple, the form asks you about Intrest on savings, I think last year I guessed at an amount (@£840) as I'm sure it's less than £1,0000.
2019- 2020  my Gross income is £4907.34, not a lot of money really and again it's asking me about interest on savings and they have put a 'Workbook' there, does this mean that I need to contact all the companies that give me interest ( I have my money spead over quite a few Banks and building societies to maximise intrest, not that ypu can get a lot at the moment) and ask them for a 'Intrest Certificate' or something?

I have other questions about the form, but lets get this one sorted first.
Many Thanks
Steve

uknick

To do the job properly you should get interest certificates for each account.  If you bank online, many will have the certificate in the documents section.  Give them till about August to get there act together and publish them.

mikulas12

Hi guys. It says on my SA account that my repayment was issued on 22/4/2020 but it's been a few days and I still haven't received it. Checked with my bank and even they said that BACS payments now work similarly to fast payments and take 24-48 hrs max to be processed. Every year I get my money the following day so rather confused this time. Spoke to an SA adviser this morning who said it might take up to 10 working days but I don't think thats' the case - I reckon the 10-day timescale counts from "Repayment pending" stage as opposed to "Repayment issued" - my bank is adamant they're not holding the funds and keep referring me back to HMRC. I do not know where HMRC took those 10 days from when they actually issued the money or is there another stage between the money being issued and actually landing in one's bank account? I have also been told that the repayment was definitely issued via BACS and not via cheque. Any help would be appreciated.

stevec59

Thanks @uknick, One of my banks is Santander, they allow you to download transactions in most formats, I downloaded mine in XLS,with the appropriate dates and then did a Data Sort, Followed by filter 'Interest'  and added that up and it looks about the correct amount, do I us that or am I better off getting a 'Interest Certificate' and if HMRC want thaey they can have it, they might not believe my speadsheet. Also, Santander charge £5 maybe £6 per month for having the account, that fee does't give me anything, such as mobile phone protection, I don't suppose I can take that amount off the Interest?

Thanks Again,
Steve

Jeremy535897

If you want to know the interest you have earned in 2019/20 before getting certificates from the bank, look back at the bank statements over the year and add up the interest on each one. Then enter the details in the working sheet on the tax return. HMRC would normally only ask for proof of interest if the details they hold come up with a different figure.

There are no deductions possible from interest received.

oldbikebloke

as you have to do a tax return you really should develop the discipline of downloading the pdf bank statements for your own records.
Then, as above, you simply add up the interest each month (or wait for the annual statement if you prefer) - there is no excuse for using guesses for interest, since each bank still reports what it paid you direct to HMRC so they can check what you declare if they want to 

uknick

stevec59 said:

Thanks @uknick, One of my banks is Santander, they allow you to download transactions in most formats, I downloaded mine in XLS,with the appropriate dates and then did a Data Sort, Followed by filter 'Interest'  and added that up and it looks about the correct amount, do I us that or am I better off getting a 'Interest Certificate' and if HMRC want thaey they can have it, they might not believe my speadsheet. Also, Santander charge £5 maybe £6 per month for having the account, that fee does't give me anything, such as mobile phone protection, I don't suppose I can take that amount off the Interest?

Thanks Again,
Steve

Interest amount - No, to be exactly correct you need to use the account summary Santander issue about the last week of May.  Mine was available 24th May last year in the e-documents section.  The figure may be the same as yours but, some banks do April to March and others do 6th April to 5th April.

Monthly charge - No, you can't deduct this. 

uknick

mikulas12 said:

Hi guys. It says on my SA account that my repayment was issued on 22/4/2020 but it's been a few days and I still haven't received it. Checked with my bank and even they said that BACS payments now work similarly to fast payments and take 24-48 hrs max to be processed. Every year I get my money the following day so rather confused this time. Spoke to an SA adviser this morning who said it might take up to 10 working days but I don't think thats' the case - I reckon the 10-day timescale counts from "Repayment pending" stage as opposed to "Repayment issued" - my bank is adamant they're not holding the funds and keep referring me back to HMRC. I do not know where HMRC took those 10 days from when they actually issued the money or is there another stage between the money being issued and actually landing in one's bank account? I have also been told that the repayment was definitely issued via BACS and not via cheque. Any help would be appreciated.

I suggest you post this in the 2020 tax repayment thread, lots are asking similar questions. 

stevec59

Thanks everyone, it's quite a lot of work, just to prove how much interest I've earnt, but I guess I have to do it.
Is it HMRC that deals with NI class 2? For some reason thy think that I owe NI class 2, even though I've earnt less that £5k, I did cash in a pension (about £3k), but surely that shouldn't be included in the NI class 2 calculations?

uknick

As Class 2 are paid when profits are over £6,475 it does appear to be incorrect.  How did you show the pension cash in, i.e. what part of the self assessment form?

stevec59

uknick said:

As Class 2 are paid when profits are over £6,475 it does appear to be incorrect.  How did you show the pension cash in, i.e. what part of the self assessment form?

I don't think I did put it on the SA form because HMRC already know about it, I paid tax on the small lump sum, so I claimed the tax back, therefore the Tax office already know about it, so I assumed I didn't need to put it on the form as it might confuse things. Maybe I'll call HMRC, are they manned during the lockdown?