Who Needs to Complete a Tax Return?

You must submit a tax return if you need to tell HMRC about any untaxed income that you or your business earns.

Who needs to complete a tax return_

What kind of tax return do I need to submit?

You might need to submit different types of tax return depending on what sort of business structure you operate, such as if you’re a sole trader or run a limited company. There are other factors too. For instance, if you’re VAT registered you’ll need to submit VAT returns as well as your business tax return.

Sending a tax return tells HMRC about the income that you earn, any tax you’ve already paid, and any allowable expenses you can claim tax relief on.

What type of Tax Return do I need to submit

Common types of tax returns for businesses

Self Assessment is used to collect income tax on earnings that haven’t already been taxed

Company Tax Returns report the income and expenditure of a limited company

VAT Returns are only a requirement for businesses which are VAT registered

CIS Returns tell HMRC about the payments contractors make to their subcontractors

When should I submit my tax return?

This depends on what sort of tax return you need to submit, because different types of return have different deadlines and requirements. It can get a bit confusing, so it’s essential to keep track of everything and set reminders to avoid any penalties!

How often do I need to submit a Tax Return

Tax return deadlines

Self Assessment

Due 31st January for the period which covers the previous tax year.

Company Tax Return

Due within 12 months of the end of the financial year that it relates to.

VAT returns

Due monthly, quarterly, or annually, depending on your VAT scheme.

Should I submit a tax return if my business made a loss?

Yes, once you register, you’ll need to continue filing a tax return until you tell HMRC that you no longer need to, even if you make a loss and don’t have any tax to pay. Unfortunately, if you don’t submit your return on time without a good reason, you’ll normally receive a penalty.

Can I offset my costs against my tax bill?

Yes! Businesses only pay tax on the their profits, not their total income. You can claim tax relief on any allowable expenses which you incur in your business, which reduces your profit figures, and therefore your tax bill.