Taxes and their payments
When does the financial year start and end?
Financial year in Great Britain starts on 6th of April and ends on 5th of April the following year, for example 2014/2015 tax year start on 06/04/2014 and finish on 05/04/2015.
Who needs to submit a Self-Assessment?
Self-Assessment should be produced by a self-employed/sole trader and members of a partnership. Self-Assessment should also be produced by other than business individuals, ie. company directors, shareholders, landlords who are in receipt of rental income and company employees who have suffered expenses.
Who is entitled to a tax refund?
Tax refund can be issued to employed or self-employed person who overpaid tax during the financial year. Overpayment might arise due to:
- working for more than one employer in the same financial year;
- wrong Tax code used to collect PAYE taxes;
- receiving deductions under CIS (Construction Industry Scheme) and have business related expenses;
- working as self-employed person under CIS deductions and were an employee in the same financial year;
- leaving employment before the end of the financial year.
How long will it take to get a tax refund?
Employees tax declarations are usually dealt between 3 weeks to 3 months. Self-employed declarations take longer to process and takes 5 weeks and longer - there is no time limit.
When should the Self-assessment be submitted to HMRC?
Self-assessment for tax year ending 5th April 2015 should be submitted by 31st October 2015 as a paper form or by 31st January 2016 on-line.
What is a P60 form?
This form is issued to all employees at the beginning of the new financial year. This employer issued form shows income earned and expenses paid during the financial year in the employment.
Kas yra P45 forma?
P45 form is issued by your employer with the last payslip once you left your employment. details included in the form are for the current financial year so far.
Self-assessment has been submitted but I still have not received my tax back, why?
An assessment is submitted in accordance to the details supplied to the accountant who was submitting it on your behalf, if the details supplied do not match details held by HMRC, such as different income under CIS deductions or expenses claimed exceed industry average, HMRC will investigate this case further before releasing any money.
I work in Construction Industry, get 20 per cent deducted from my pay but instead of a refund I received a letter to pay HMRC. Why this happened?
This usually happens if your income exceeds 47 000 pounds sterling or HMRC do not agree with business expenses claimed.
If I am leaving UK and am not planning to come back, can I get all my tax back that I paid?
No, this is only a myth.