HM Revenue and Customs (HMRC) has issued a reminder to certain UK workers to check whether they need to complete a tax return. This applies to individuals who have earned more than £1,000 through a side hustle, as well as newly self-employed people, landlords, and new partners in a business partnership.
In a message on social media platform X, HMRC encouraged people to verify their tax return obligations. The Government website clarifies that income tax is usually deducted automatically from wages and pensions, but people and businesses with additional income must report it via a Self Assessment tax return.
Who Needs to Submit a Tax Return?
According to HMRC, you may need to complete a tax return if you are:
- Newly self-employed
- A landlord
- A new partner in a business partnership
- Earned more than £1,000 through a side hustle
HMRC provides a free online tool to help determine if you need to file.
Deadlines for Tax Returns
If you need to submit a tax return for the previous tax year, you must inform HMRC by October 5. This applies if you have not sent a tax return before or previously registered but did not need to send one for the 2024 to 2025 tax year. Failure to notify HMRC by October 5 could result in a fine.
To complete your return, it is vital to maintain records such as bank statements or receipts to ensure accuracy. Separate deadlines exist for settling your bill:
- January 31 for any tax owed for the previous tax year (balancing payment) and first payment on account
- July 31 for second payment on account
How Much Will You Owe?
HMRC will calculate what you owe based on the information you submit. The amount of tax you pay will depend on your Income Tax band. A different rate applies for Capital Gains Tax if you need to pay it, for instance, when selling shares or a second home. Further guidance is available on the GOV.UK website.
