Tips to Prepare For Self Assessment Tax Return

Getting your tax return right is of utmost importance. Not only will it save you time and money, but having accurate bookkeeping also gives you a better understanding of your financial situation. When filing taxes, it's important to be organised and thorough. To make sure that everything is properly accounted for, take the time to gather all of the necessary documents and information beforehand. Every tax-payer's personal tax situation is as individual as their health - no 2 people are the same! We'll discuss a few tips to help you prepare for your self assessment tax return.

Tips For Self Assessment Tax Return

Here are some tips to help you prepare for your self assessment tax return:

1. Gather all the necessary documents 

• Before filing, make sure that you have gathered all of the documents required for your tax return. This includes pay stubs, bank statements, receipts, invoices and any other relevant financial records. It’s important to keep these documents organised and filed away for easy reference.

2. Review previous year’s tax return 

• Taking a look at your last year’s tax return is a great way to get an idea of what information you need to provide when filing. It can also help you identify any mistakes or deductions that may have been missed the previous year.

3. Know what deductions apply to you 

• Many taxpayers are unaware of the various tax credits and deductions they may be eligible for. Researching these can help reduce your taxable income and potentially save you money, but search engines don’t have the whole story. A professional tax return accountant can also help you identify any potential deductions.

4. Understand the deadlines 

• Knowing when taxes are due is essential in order to avoid late fees or penalties. In the UK, the self assessment tax return deadline is the 31st of January each year - this means you have to submit your tax return - and pay any tax due / arrange a payment plan - by this date.

5. Utilise tax preparation software 

• Taking advantage of tax software can help make the filing process easier and more efficient. With step by step guidance, most of these programs are designed with taxpayers in mind and can help ensure that all of the necessary information is accurately entered. Plus, keeping digital records can be a great way to store all of the documents and information needed for future reference.

6. Double check everything 

• Before submitting your return, make sure to double-check all of the information and calculations. This will help prevent any costly mistakes or confusion during the review process.

Following these tips can help make filing your self assessment tax return easier and more efficient. Taking the time to properly prepare in advance can save you time and money, as well as provide useful insight into your financial situation.

At Barnstone Accountancy, we are committed to helping our clients properly complete their tax returns. We ensure that all of our clients make the most out of their tax return, and that they're always filing accurate and up-to-date returns to prevent costly mistakes. Contact us today for more information or assistance with filing your self assessment tax return.