Blog.
Accounts made easy.
Important Dates for your Diary - Self Employed/Sole Traders
If you are trading self employed and have earned over £1000.
You need to register as Self Employed - Registration deadline is 5th October.
If you are planning on filing your self assessment via a Paper Tax Return (which is being fazed out soon) - your deadline to return is 31st October.
Online Tax Return Submissions - your deadline 31st January but be warned...
You also have to PAY by 31st January too. If you submit on the deadline day your online account takes 24/48 hours to update. Therefore you have to pay before they confirm your submission is correct.
The benefits of submitting your return early...
- You have more time to save to pay your tax bill, although it is advised to set aside 20% of ALL your earnings when you first set up as self employed. It really is a good habit to get in to and you will always have enough for your income tax.
- If your tax liability is over £1000 you are then required to make a 'Payment on Account' - find out more on a previous blog.
- Just because you have submitted your tax return early, DOES NOT MEAN YOU HAVE TO PAY SOONER. So why put it off, why leave it to chance that you can afford it?
By using a Starling Bank, you can set a 'Space' where you can easily transfer 20% to, where its out of your sight, out of your mind... No risk in spending it if it's can't be seen.
What are you waiting for. Get your accounts up to date, ready for April. Get it submitted and take that stress away. If your tax bill is higher than expected you have 10 months to save to pay it.
