Do I Need to File a Self-assessment Tax Return?

Self Assessment, Sole Trader

Do I Need to File a Self-assessment Tax Return?

What is a self-assessment?

HM Revenue and Customs (HMRC) uses Self-Assessment Tax Returns to collect Income Tax from individuals. Usually, taxes are automatically deducted from salaries and pensions. However if you have additional income, you must declare it by filing a tax return.

Who needs to submit a Self assessment?

There is a requirement to file a tax return if any of the following conditions were applicable to you during the previous tax year (from 6th April to 5th April):

  • Self-employed as a ‘sole trader’ and earned more than £1,000 (before deducting any eligible tax relief).
  • CIS Contractor
  • A partner in a business partnership.
  • Earned £100,000 or more.

Additionally, you need to submit a tax return if you received any untaxed income, such as:

  • COVID-19 grants or support payments.
  • Rental income from property.
  • Tips and commissions.
  • Income from savings, investments, and dividends.
  • Foreign income.

If you receive Child Benefits.

  • If you or your partners’ taxable income exceeded £50,000, you may need to submit a return and pay the High-Income Child Benefit Charge.

If you are unsure as to whether you need to submit a tax return you can use the following link to do so:

Completing a tax return can have multiple benefits. You have the option to submit a tax return for various reasons:

  • Claim certain Income Tax reliefs – The following link contains more information about claiming expenses for working from home
  • If you need to claim Tax-Free Childcare or Maternity Allowance as a self-employed individual, you will need to provide documentation as proof of your status.

How do I submit a tax return?

To fulfil your tax obligations, the initial step is to enroll for Self-Assessment in order to obtain a Unique Taxpayer Reference (UTR). You can use the following link to register for self assessment:

If you need any help or advice with regards to filing a Tax return please contact us at

Book a Discovery Call

    Get a quote