Tax return? Groan!

metrobus

So SA due to interest over £10k can be done solely through the my Government Gateway account?

Dazed_and_C0nfused

waveydavey48 said:

Very interesting, thank you all.

So I can just wait until I see online that interest has been paid, write down the amount and date credited and provide that info to HMRC. Is that right?

Finally, when should I fill in a tax return?

All help appreciated. 

No, you need to add it all together, not supply individual amounts.

You can file a return in the period from 6 April to 31 January after the end of the tax year.

But leaving it last minute has some disadvantages for some people so generally not a good idea.

Ayr_Rage

Personally, I request the tax certificates from the companies that do not automatically send them as soon as the tax year ends.

I know from experience that Santander add the required document to my account around the middle of July, they are the last every time.

I then collate all the interest and file my return.

If you find you have missed anything you can go back on the SA website and amend a return.

The SA site shows all the info you need, a detailed calculation and the due dates for payments.

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

waveydavey48

Ayr_Rage said:

Personally, I request the tax certificates from the companies that do not automatically send them as soon as the tax year ends.

I know from experience that Santander add the required document to my account around the middle of July, they are the last every time.

I then collate all the interest and file my return.

If you find you have missed anything you can go back on the SA website and amend a return.

The SA site shows all the info you need, a detailed calculation and the due dates for payments.

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

I see. So I can wait until the tax year ends in April 24, locate the tax certificates from those that send them, seek certs from those that don't, add together the interest amounts paid and provide that total to HMRC via govt gateway. Best to do it asap after the tax year ends but in any event well in advance of the deadline which is January of the following year. 

Thank you everyone, if that is a fair summary of the position then I am happy as it is sorted in my mind.    

wmb194

waveydavey48 said:

Ayr_Rage said:

Personally, I request the tax certificates from the companies that do not automatically send them as soon as the tax year ends.

I know from experience that Santander add the required document to my account around the middle of July, they are the last every time.

I then collate all the interest and file my return.

If you find you have missed anything you can go back on the SA website and amend a return.

The SA site shows all the info you need, a detailed calculation and the due dates for payments.

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

I see. So I can wait until the tax year ends in April 24, locate the tax certificates from those that send them, seek certs from those that don't, add together the interest amounts paid and provide that total to HMRC via govt gateway. Best to do it asap after the tax year ends but in any event well in advance of the deadline which is January of the following year. 

Thank you everyone, if that is a fair summary of the position then I am happy as it is sorted in my mind.    

That's just one way to do it as you don't actually need the certificates, I don't bother with them.

Swipe

Ayr_Rage said:

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

Not even a large amount, anything over £1000 owed.

mebu60

Swipe said:

Ayr_Rage said:

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

Not even a large amount, anything over £1000 owed.

Not necessarily. I've been >£1k the past two tax years and not been asked for PoA. Was a bit concerned the first time, considered making 'voluntary' payments on account. Owed £1660.80 for 22/23. That's all they want in January. No PoA again. Could be a % thing. Anyone know? 

Swipe

mebu60 said:

Swipe said:

Ayr_Rage said:

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

Not even a large amount, anything over £1000 owed.

Not necessarily. I've been >£1k the past two tax years and not been asked for PoA. Was a bit concerned the first time, considered making 'voluntary' payments on account. Owed £1660.80 for 22/23. That's all they want in January. No PoA again. Could be a % thing. Anyone know? 

They made me for just £1025 owed

Dazed_and_C0nfused

mebu60 said:

Swipe said:

Ayr_Rage said:

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

Not even a large amount, anything over £1000 owed.

Not necessarily. I've been >£1k the past two tax years and not been asked for PoA. Was a bit concerned the first time, considered making 'voluntary' payments on account. Owed £1660.80 for 22/23. That's all they want in January. No PoA again. Could be a % thing. Anyone know? 

There is an 80/20 rule.

If you have paid some tax at source, often under PAYE, then POA will only be required if you are having to pay at least 20% of your total liability via Self Assessment.

So say you had a total liability of £10,000 but because of tax deducted at source you only had to pay HMRC £1660.82 then no POA would be required for the following year.

However once POA are required for the following year they apply irrespective of the amount.  So say each POA was created for £750 but you expected the liability for that later year to only be £50 you can't avoid POA but you could make a claim to reduce them to £25 each.

https://www.gov.uk/hmrc-internal-manuals/self-assessment-manual/sam1010

mebu60

Dazed_and_C0nfused said:

mebu60 said:

Swipe said:

Ayr_Rage said:

If you have a large amount to pay you may find they ask for "Payments on Account" but that's another story.

Not even a large amount, anything over £1000 owed.

Not necessarily. I've been >£1k the past two tax years and not been asked for PoA. Was a bit concerned the first time, considered making 'voluntary' payments on account. Owed £1660.80 for 22/23. That's all they want in January. No PoA again. Could be a % thing. Anyone know? 

There is an 80/20 rule.

If you have paid some tax at source, often under PAYE, then POA will only be required if you are having to pay at least 20% of your total liability via Self Assessment.

So say you had a total liability of £10,000 but because of tax deducted at source you only had to pay HMRC £1660.82 then no POA would be required for the following year.

However once POA are required for the following year they apply irrespective of the amount.  So say each POA was created for £750 but you expected the liability for that later year to only be £50 you can't avoid POA but you could make a claim to reduce them to £25 each.

https://www.gov.uk/hmrc-internal-manuals/self-assessment-manual/sam1010

Very interesting, thanks. I paid 81.111% of income tax due at source!