UTR stands for “Unique Tax Reference” number. It is a 10-digit number issued by HMRC to identify you as a taxpayer. Anyone who registers or completes a self assessment tax return will be issued a UTR number by HMRC.

You can find your UTR number on the annual notice HMRC send out to every taxpayer in April each year. You can also view your UTR number online via your “Personal Tax Account” on HMRC’s website, using your Government Gateway ID login credentials.

The vast majority of the population will not need to fill out a tax return. But in a nutshell, more often than not, if you receive any form of income (other than from your PAYE job or from tax-free savings such as an ISA account), you will need to register for and complete a tax return to HMRC each year.

A Self Assessment Tax Return summarises all sources of income during the year and declares this information to HMRC, including how much tax is due on that income. It takes into consideration any tax you have already paid (i.e. through your job or CIS) and works out anything still owing or to claim back from HMRC.

You do not need to tell HMRC if you receive income from letting out of your property, if the amount you receive during the tax year is £1,000 or less. Otherwise, you will need to complete a tax return.

The exception to this is where you receive less than £7,500 per year from letting out a furnished room or rooms in your own home. If receiving more than this, it will need to be declared to HMRC.

Every individual is entitled to a dividend allowance, set at £2,000 for 2020/21. You do not need to tell HMRC about your dividends if they are less than this.

If you receive dividends of £10,000 or more, you will need to complete a tax return.

If you receive dividends between £2,000 and £10,000, you can include them on your tax return if you complete one. If you don’t, you can ring HMRC on 0300 200 3300 and ask them to adjust your tax code, so they can collect the tax without needing to complete a tax return.

If you own shares in any company worldwide, you may receive income from owning them. It’s this income that’s called a “dividend”. The income is based on that company paying out some or all of their profits to the shareholders (or owners) of that company.

The deadline to file is 31st January following the end of the tax year. If you miss the deadline, HMRC will issue an automatic £100 penalty for late filing and potentially, another £100 for not paying the tax on time. You can appeal against these penalties if you have a valid reason but it is better to seek advice around this.
‍
If you don’t file your tax return within 3 months of the filing deadline, the penalties will start increasing rapidly and could run into thousands of pounds

We will only request information that is required by law. As we are regulated in the UK, we have certain obligations to our authorities… similar to a bank or a solicitor. If you wish for us to do your tax return, we will ask for a proof of ID, such as a driving licence, passport or similar photo ID, as well as a proof of address. The process takes less than 3 minutes!
‍
Rest assured your information is held off our servers in a secure location with similar security measures to other large institutions.

In a nutshell, if you need to complete a tax return:
‍
– Create your free online account (just need your full name and email address)
– Once verified, go into your user area and complete your personal information
– Select the button to start your tax return (you’ll be taken to a screen to answer a few questions)
– Once you’ve paid, simply drag and drop the information requested
– We will do all the leg work and prepare the tax return for you
– We’ll upload a draft tax return for you to review and approve electronically
– Once you’ve approved, leave it to us to submit to HMRC