Self assessment HMRC: how to register for self assessment tax return as October 5 deadline approaches

• Self-employed individuals, those with untaxed income and high earners must register for self-assessment
• First-time filers for the 2023-2024 tax year must register by October 5 to avoid penalties
• To register, create a Government Gateway account, complete the self-assessment registration and receive a Unique Taxpayer Reference (UTR)
• Paper tax returns are due by October 31, and online returns by January 31 2025
• Late registration or filing may result in fines, starting with a £100 penalty

As the October 5 deadline looms, many people in the UK are preparing to register for tax self-assessment with HM Revenue and Customs (HMRC).

For first-time filers, navigating the self-assessment process can seem daunting, but it doesn’t have to be.

Understanding how and why you need to register, and ensuring that you meet the deadline, can help you avoid unnecessary penalties and ensure you're compliant with tax regulations. Here is everything you need to know about it...

Do I need to register?

First and foremost, it’s important to understand if you need to register for self-assessment.

While most UK taxpayers have their income taxed automatically via Pay As You Earn (PAYE), certain groups of people are required to submit an annual tax return.

You’ll need to register for self-assessment if:

• You’re self-employed or a sole trader – Anyone earning an income from self-employment, regardless of the amount, needs to register.
• You’re a partner in a business – Members of business partnerships are responsible for reporting their income via self-assessment.
• You earn untaxed income – If you receive income that hasn’t been taxed, such as rental income from properties, dividends from investments, or any foreign income, you must file a return.
• Your annual income exceeds £100,000 – Even if you’re employed under PAYE, individuals earning more than £100,000 per year need to submit a self-assessment to ensure that their income is correctly taxed.
• You want to claim expenses or reliefs – People who wish to claim tax relief on personal pension contributions, charitable donations or work-related expenses that aren’t covered by PAYE should also register for self-assessment.
• You’re a High-Income Child Benefit Claimant – If you or your partner earn more than £50,000 and receive child benefit, you may need to complete a self-assessment to pay the High-Income Child Benefit Tax Charge.
• You Have Capital Gains – If you have sold assets (such as property or investments) and made a profit above the Capital Gains Tax allowance, you need to declare this via self-assessment.

Why do I need to register by October 5?

The October 5 deadline is crucial for those who need to register for self-assessment for the first time, and missing this date could lead to penalties from HMRC.

It’s important to note that the October 5 deadline only applies to those who haven’t previously submitted a self-assessment tax return and who have a new tax liability for the 2023-2024 tax year.

Once you’ve registered, you will be able to submit your tax return for the 2023-2024 financial year by the standard filing deadlines (either October 31 for paper returns or January 31, 2025 for online returns).

Failing to register and subsequently file your return on time can lead to penalties, interest charges and additional stress.

How do I register for self-assessment?

If you need to register for self-assessment, follow the steps below to ensure that you’re ready by the October 5 deadline.

Step 1: Create a Government Gateway account

The first step in registering for self-assessment is to set up a Government Gateway account if you don’t already have one. This account is your online portal to managing your taxes and communicating with HMRC.

To create an account:

• Visit the HMRC website and follow the instructions to sign up for a Government Gateway user ID.
• You will need to provide your personal details, such as your name, address, date of birth, and National Insurance number.

Once you’ve set up your account, make sure to keep your login details safe, as you’ll need them to access HMRC’s services, including filing your tax return.

Step 2: Register for self-assessment

Once your Government Gateway account is created, you can proceed with registering for self-assessment.

• Log in to your Government Gateway account and choose the “Self Assessment (SA)” service.
• You’ll need to complete an online form to provide details about your employment status and income sources.
• During the registration process, you will need to specify your reason for needing to file a return (e.g., self-employment, rental income).
• Ensure that all the information you provide is accurate, as this will form the basis of your tax assessment.

Step 3: Wait for your Unique Taxpayer Reference (UTR)

Once you’ve registered, HMRC will send you a Unique Taxpayer Reference (UTR) by post. This 10-digit code is essential for filing your self-assessment tax return and managing your tax affairs.

You should receive your UTR within 10 working days. If you don’t receive it, contact HMRC to ensure your application has been processed.

You will also receive an activation code for your Government Gateway account, which you’ll need to activate within 28 days.

Step 4: Activate self-assessment service

After you’ve received your UTR and activation code, log in to your Government Gateway account to activate your self-assessment service.

• Enter your UTR and the activation code sent to you by HMRC to complete the registration.
• Once activated, you’ll be ready to submit your tax return when the time comes.

When are the deadlines for filing and payment?

Once registered, it’s essential to be aware of the key deadlines:

• October 31, 2024 – The deadline for paper tax returns.
• January 31, 2025 – The deadline for online tax returns and paying any tax you owe.

What happens if I miss the deadline?

Missing the October 5, 2024 registration deadline doesn’t automatically mean hefty fines, but it could lead to delays and complications.

If you fail to register in time and don’t submit your tax return by the January 31, 2025 filing deadline, you could face an initial penalty of £100, followed by daily penalties if the delay continues.

As the October 5 deadline approaches, it's crucial to stay ahead and avoid unnecessary penalties. If you still have questions or need further clarification about registering for self-assessment, drop your queries in the comments section.