Self Assessment
The income tax system for the United Kingdom has moved to a system of Self Assessment. This simply means that the individual or business completes their own Income Tax Returns and calculates their own Income or Corporation Tax liability. These taxes are then due and payable on certain predetermined dates.
However this does not mean that the individual or business thinks up their own taxation liability. The onus is on the business to keep proper books and records so as to be able to prepare accurate accounts, which then form the basis of the Self Assessment return forms.
The Inland Revenue then have certain time limits in which they can investigate the returns submitted. They can make alterations to these returns from information that they learn from their deliberations. The majority of the Inland Revenue investigations are on a random sample basis, but this does not mean that specific information or knowledge will not be investigated.
We at Connelly & Co. prepare all the necessary Self Assessment return forms and these are filed electronically direct to the Inland Revenue computer system using the secure on-line filing system for agents.. This has proved a valuable tool for the efficient submission of the returns in order to meet the annual filing deadlines.
