Sole traders
Business income and expenses where your circumstances require a Self Assessment return.
Self Assessment accountant in West London
Know what you need to report, what you can claim, and what you need to pay.
SV&Co prepares Self Assessment tax returns for sole traders, landlords, CIS subcontractors, company directors who need to file, and individuals with other taxable income or gains across Southall and West London.
Before you file your tax return
Four questions worth answering first.
Do I actually need a tax return?Check whether Self Assessment applies to your situation.
What is my taxable profit?Understand income, expenses and the figure HMRC taxes.
What expenses can I claim?See the common categories and where the rules need care.
Why is my January bill so high?Understand balancing payments and payments on account.
If you do not know the answers, the sections below explain them in plain English.
Do you need to file?
Self Assessment is needed for more than just self-employment.
HMRC has an official online checker. Where your position involves several sources of income, property, capital gains or an HMRC notice, we can review the position with you.
Landlords
Rental income, property expenses and other taxable income that needs reporting.
CIS subcontractors
Self-employed income, expenses and CIS tax already deducted by contractors.
Company directors
Directors do not automatically need a return simply because they are directors, but their wider tax circumstances may require one.
Capital gains or other income
Certain disposals, investment income or other taxable amounts can create a filing requirement.
HMRC has asked you to file
If HMRC issues a notice to file, do not ignore it. We can help review what is required.
Self-employed profit
Turnover is not the same as profit.
For a simple sole trader, you start with business income and deduct allowable business expenses. Tax rules can then affect the final taxable profit.
Business income
Sales, fees and other trading income.
Less allowable expenses
Business costs that meet the tax rules.
Business profit
The amount left before personal Income Tax and National Insurance.
Taxable result
Adjusted where the tax rules require a different treatment.
Your bank balance is not your taxable profit.
Cash can move for many reasons, for example buying equipment, repaying borrowing, personal drawings or money introduced into the business. We prepare the tax position from the business records, not simply from the closing bank balance.
Payments on account
Why can your first January tax payment feel much bigger than expected?
If HMRC requires payments on account, you can be paying the balance for the year just finished and an advance payment towards the next year’s bill at the same time.
31 January
Balancing payment for the previous tax year, plus the first payment on account for the next year.
31 July
Second payment on account towards that next year’s bill.
Payments on account are normally two equal instalments.
Each is generally half of the previous year’s relevant Self Assessment liability. HMRC does not normally require them if the relevant tax is under £1,000, or if more than 80% of your tax was already collected outside Self Assessment.
Payments on account explainer
Enter a simple previous Self Assessment liability and tax already collected at source.
Making Tax Digital for Income Tax
MTD is already live for some sole traders and landlords.
If your qualifying income was over £50,000 for 2024 to 2025, you should have started using MTD for Income Tax from 6 April 2026. The threshold falls in later years.
MTD changes the way records are kept and updates are sent to HMRC. It does not mean that accurate bookkeeping or professional review becomes less important.
Simple tax tools
See why profit and the final tax bill are not the same thing.
These are educational estimates using current 2026 to 2027 standard England, Wales and Northern Ireland Income Tax bands and self-employed Class 4 National Insurance rates. They do not replace a full tax calculation.
Sole trader tax estimate
Enter an estimated annual self-employed taxable profit, assuming no other income.
Why this is only an estimate
Your actual Self Assessment can be affected by employment income, property, dividends, savings, pensions, student loans, losses, Marriage Allowance, High Income Child Benefit Charge, Capital Gains Tax and other factors.
Use it to understand the mechanics, not to decide what to pay HMRC.
The final tax position should come from the completed return and supporting records.
Self Assessment FAQs
Quick answers before you contact us.
What is the online filing deadline for the 2025 to 2026 tax return?
The online Self Assessment deadline is normally 31 January 2027. Any balancing payment normally due for that return is also due by 31 January.
Can I file before January?
Yes. The return can be submitted after the end of the tax year. Filing earlier can help you understand the tax bill and plan payment sooner.
What are payments on account?
They are advance payments towards the next Self Assessment bill. They are normally paid in two instalments on 31 January and 31 July where HMRC’s conditions are met.
Can I claim every cost paid from my business bank account?
No. Paying an item from the business account does not automatically make it tax deductible. The expense must meet the relevant tax rules, and private use may need to be excluded.
Does MTD replace my annual tax return?
MTD changes digital record keeping and reporting obligations for those within scope. The annual Self Assessment process and final tax position still need to be completed in line with HMRC’s current rules.
Can SV&Co deal with HMRC for me?
Once the correct agent authority is in place, we can deal with relevant HMRC correspondence and submissions on your behalf.
Reviewed by
Sandip Vadher, PhD FCCA
Founder of SV&Co Accountancy. Fellow Chartered Certified Accountant with more than 20 years of finance and accountancy experience.
Need help with your return?
Tell us what you need help with.
WhatsApp is the preferred fast-response route. You can also use the short form to show us the type of Self Assessment help you need.
Self Assessment can involve trading income, property income, director income, expenses and payments on account. SV&Co helps West London taxpayers organise the records, calculate the position and file accurately.