Filing your Self Assessment tax return may not be top of your priority list, but submitting it early can bring significant advantages. From reducing stress to giving you more control over your finances, early filing is a smart move.
In this guide, we’ll explain what a Self Assessment tax return is, who needs to file one, and the key benefits of doing it well ahead of the 31 January deadline.
What Is a Self Assessment Tax Return?
Self Assessment is the system HMRC uses to collect tax from individuals whose income isn't taxed at source. This typically includes:
- Self-employed individuals
- Landlords
- Company directors
- People receiving income from savings, investments, dividends, or overseas sources
Unlike employees taxed through PAYE (Pay As You Earn), these individuals are responsible for reporting their income and expenses to HMRC and paying any tax owed.
Who Needs to File a Tax Return?
You must usually file a Self Assessment tax return if:
- You're a self-employed sole trader earning more than £1,000 (before expenses)
- You’re a partner in a business partnership
- Your taxable income exceeds £150,000
- You've made a capital gain on a sold or disposed asset
- You’re liable for the High Income Child Benefit Charge
- You’ve received untaxed income, such as from rental properties, tips, commissions, savings, investments, dividends, or foreign income
This list isn’t exhaustive. You can use HMRC’s online checker to confirm if a return is required: Check if you need to send a Self Assessment tax return – GOV.UK
When Can You File?
Although the deadline for online submission is 31 January (following the tax year ending on 5 April), you don’t need to wait that long. HMRC opens its Self Assessment portal in April—allowing you to file as early as 6 April each year.
Top Benefits of Filing Early
1. Avoid Last-Minute Stress
No more scrambling in January. Filing early gives you plenty of time to find documents and resolve queries.
2. Time to Budget for Your Tax Bill
Filing early doesn’t mean paying early. You still have until 31 January to pay, but knowing what you owe months in advance lets you plan accordingly.
3. Receive Tax Refunds Sooner
If you’re due a refund, you’ll receive it faster by filing early—often within a few weeks.
4. Better Access to Professional Support
Accountants are busiest in the run-up to the deadline. Early filing means you’ll get the advice and support you need without delay.
5. Minimise the Risk of Penalties
A missed deadline results in an immediate £100 fine, with escalating charges thereafter. Filing early ensures compliance and avoids these costs.
6. Enjoy Peace of Mind
Perhaps the greatest benefit: it’s done. You’ll have one less thing to worry about.
Need Help? We're Here for You
If you have any questions about Self Assessment or would like support with your tax return, our team is ready to help. Get in touch at hello@vpcaccountants.com.
