If you’re unsure whether you need to file a Self Assessment tax return, you’re definitely not alone. Every year, thousands of people find themselves asking this exact question. The rules aren’t always straightforward, and it can be confusing to know if you have to file or not.
In this guide, we’ll help you understand the basics, so you can figure out whether a return applies to you, and what your next steps should be.
What Is a Self Assessment?
Self Assessment is HMRC’s way of collecting tax from people whose income isn’t fully taxed through PAYE. If you earn money in a way that isn’t automatically taxed, or if you have a mix of different income types, HMRC may require you to submit a return.
Who Has to File a Self Assessment Tax Return?
You’ll usually need to file a return if any of the following apply:
1. You’re Self-Employed (Even a Side Hustle Counts!)
If you earned more than £1,000 from self-employment in the tax year, you must register and file.
This covers:
freelancers
online sellers
tutors/coaches
creators
consultants
part-time or “casual” work
2. You’re in a Partnership
Partners must file individual returns, and the partnership must file a separate Partnership Tax Return.
3. You Receive Untaxed Income
Even if you’re employed, you may still need to file if you earn money that hasn’t been taxed at source, such as:
rental income
dividends
interest
foreign income
investment income
tips or commission
side hustle earnings
cryptocurrency gains (if taxable)
If HMRC can’t collect the tax via your tax code, a return is required.
4. You Earn Over £100,000
Once your income passes £100,000, you must file a return regardless of how you earn it.
5. You’re Affected by the High Income Child Benefit Charge
If you or your partner earn over £60,000 while claiming Child Benefit, you may need a return to pay the charge.
Other Reasons You Might Need to File
You may also need to file if:
you’ve made a capital gain (e.g., selling shares or property)
you’re a landlord with multiple properties
your tax situation is more complex than PAYE can handle
HMRC has issued you a notice to complete a tax return
Once HMRC issues a notice, you’re legally required to file.
What Counts as Taxable Income?
This is where people often get caught out. Taxable income includes far more than wages.
It can include:
self-employed income
rental income
dividends and interest
foreign income
cash jobs
hobby income that turns profitable
income earned online (Etsy, eBay, Vinted, Fiverr, etc.)
certain investment and pension income
If it’s income, and it isn’t fully taxed automatically, HMRC may expect a return.
Quick Checklist: Do You Need to File?
You probably need to file if you:
✔ earned more than £1,000 from self-employment
✔ receive rental, dividend or investment income
✔ have foreign income
✔ had a tax bill that can’t be collected through PAYE
✔ earned over £100,000
✔ claim Child Benefit and earn over £50,000
If one or more applies, it’s worth taking the next step and registering and filing with HMRC sooner rather than later to avoid any last-minute stress.
Next Steps: Registering with HMRC
Once you’ve worked out that you do need to file a tax return, the next important step is registering with HMRC for Self Assessment so you can get your UTR number. Without that, you won’t be able to submit your return.
You can follow our step-by-step guide here: How to Register for HMRC Self Assessment (UTR, Deadlines & Step-by-Step Guide)
Need Help with Your Self Assessment? We’re Here.
If you’re still unsure whether you need to file, or you’d simply prefer an expert to take the stress away, our team at Platinum Accountancy Services can help you complete your Self Assessment accurately and on time. We also offer bookkeeping support, which can make managing your records, and staying on top of next year’s return, far easier.
Learn more about our Personal Tax services, or if you’d like tailored advice or help preparing your return, you’re always welcome to get in touch.
Share this post: