Everyone has to work out their income tax liability every year and submit their tax return to HM Revenue and Customs before 31 January. There will be penalty charge for late submission and also automatic surcharge on any tax outstanding.
What income is subject to income tax?
Almost everything you earn is taxable under the UK government tax system. This includes the following:
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Profits you make from working for yourself as a sole trader or in a partnership.
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Monies from state pensions, Personal and company pensions as well as retirement annuity.
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Profits you make from spare time activities such as selling stuff in ebay etc.
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Income from company or personal pensions and retirement annuity.
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Interest received from your savings accounts
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Dividends from stocks and shares (both UK and foreign) excluding dividend income from ISAs.
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Dividends from open-ended investment companies (commonly referred to as unit trusts)
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Rental income from buy to let property and rooms for rent.
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Earnings from abroad including anything you earn by renting out holiday homes
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Salary and wages including bonuses from full time, part time and temporary employment.
People under employment are normally taxed under the Pay As You Earn (PAYE) scheme and probably would not need to file a tax return unless you have other income sources or have a complicated tax affairs.
Concise Accountancy provides taxation services to individuals. Feel free to contact us if you require help to work out your income tax bill, our accountants will be more than happy to assist you including completing your personal tax return for you.
Concise Accountancy – Taxation solutions for individuals
