03 Jan 2022 2:34 PM

Were you one of the eager taxpayers who took time out from Christmas day festivities to logon and file their online self-assessment tax return? Or is filing your online tax return one of the many things on your January to do list?

When this task is left until the last minute it’s easy to make mistakes or forget to include important information.

In our experience here are some of the common areas that taxpayers overlook when filling in their tax return.

Casual income.

If you received any casual income, new interactive guidance is available to check whether the income has to be declared. This might include:

  • selling things, maybe online, or at car boot sales and auctions;
  • doing casual work, such as gardening, cleaning, food delivery or babysitting;
  • charging for the use of equipment and tools; and
  • renting out property or part of your home (including for holidays).

Expenses

For employees and directors, make sure you claim tax relief for any job-related expenses which your employer has not reimbursed. With professional fees or subscriptions, remember to include the amount paid during 2021/21, as these usually increase annually.

Where your own car, motorcycle or bicycle is used for work, a deduction can be claimed based on HMRC approved mileage rates. Remember that travel to and from work only counts if it’s to temporary workplaces.

If you have been required to work from home due to Covid-19 or otherwise, you can claim £4 a week for 2020/21 to cover the additional cost.

Benefits

For employees and directors, don’t forget to include any taxable benefits listed on your P11D if not automatically included by HMRC. Include interest and dividends received, although you can ignore ISA income.

Ask ‘Have I sold anything?’

CGT may be due if you’ve sold property (not your main home) or land, shares or other assets for a profit.

For more information on CGT: https://www.gov.uk/capital-gains-tax

There’s help available.

HMRC releases live webinars on ‘how to complete your tax return’, although the sessions covering employment and self-employment are only available just before the filing deadline.

Registration details can be found on their website.

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