Embarc is an accountancy practice based in Inverurie and covering all areas in the North East of Scotland. We specialise in providing a friendly, efficient & cost effective service to small and medium sized businesses.

Personal tax returns are completed once a year and cover the tax year which runs from 6th April to 5th April. If you are completing a paper return the deadline is 31st October and if you are submitting online the deadline is 31st January following the end of the tax year. Any tax payable is also due on 31st January. If your tax return is one day late there is an automatic penalty of £100.

Many individuals complete their own tax return without any problem. Like anything it can be a bit daunting the first time you complete it and because it is only once a year you might struggle to recall what you did the year before.

So how do I go about it?
The first thing is to gather all the information required. For most straightforward returns the sections to complete are:
• Employment & Benefits – if you have been an employee during the year.
• Self employment – whether a sole trader or in partnership. Your level of turnover will determine whether you need to complete a short return or full return which is more detailed. For 2012-2013 you can complete the short summary return if your turnover does not exceed £77,000.
• Other income – interest received, pensions, dividends.

The amount of tax payable will be reduced by any reliefs for pension payments and charitable giving.

If your situation is more complex you may also have to complete the sections for UK property, foreign income, trusts and capital gains.

Whether you are completing your own return or you have somebody completing it on your behalf, the most important thing is to be organised. Know what backup documentation is required and file it in a safe place as soon as you receive it. I would suggest you keep a file labelled ‘Tax Return 2012-2013’ and put everything in there as soon as you receive it. Alternatively, keep your documents in electronic format, again in a named folder and remember to take a backup of these files.

So which documents do I need?
• Employment – P60 will be issued by your employer by 31st May. P11D detailing any benefits, e.g. company car or medical insurance will be issued by your employer by 6th July.
• Self employment – you will need your profit and loss account for the year.
• Interest received – statement from bank, building society or refer to your statements for the tax year.
• Pensions – annual statements
• Dividends – dividend counterfoils

Once you have everything to hand you can logon to HMRC and file your return online

So what are you waiting for, why not start today?
If you do need help with your tax return, please get in touch today for a free consultation

Pay As You Earn (PAYE) is the system that HM Revenue & Customs uses to collect Income Tax and National Insurance contributions from employees’ pay as they earn it. In the UK, the PAYE system has been in place since 1942.
The biggest change to the PAYE system – Real Time Information (RTI) came into effect on 6th April 2013. This new system requires employers to report PAYE information to HMRC in real time rather than once a year at the end of the tax year. In other words, every time a payroll is run (weekly or monthly), a report must be submitted to HMRC.

It is now critical for employers to ensure that all employee details are accurate and up to date.
• employee address
• date of birth
• national insurance number

Employers can cope with these changes in the following ways
• using HMRC’s basic PAYE tool
• using RTI compliant software
• outsourcing to a reliable payroll bureau

Want us to take care of it for you?
At Embarc, our payroll service is RTI compliant and we are already reporting in real time. If you would like us to assist, then please get in touch.

Every company has to complete and submit an Annual Return to Companies House. The Annual Return is a separate document to the company’s annual accounts and although most company directors are familiar with preparing the annual accounts, the Annual Return can often be overlooked. If you miss the filing deadline the company and its directors can be prosecuted.

The return as you would expect is prepared annually and usually on the anniversary of the date the company was incorporated, although this date can be changed. The Annual Return gives a snapshot of information about the company’s directors, secretaries, registered office, shareholders and share capital. The return has to be submitted within 28 days of the date it is made up to. The easiest way to submit the return is online through the Companies House website (www.companieshouse.gov.uk). To be able to file online you must first register for the Companies House web filing.

If you are worried about missing the deadline you can join the Companies House free eReminder service. Of course you can also ask your accountant to help with the submission of your Annual Return. At Embarc, it’s all part of the ongoing support we can offer you.