All businesses need to declare their results to the Tax authorities and this is done by means of a Tax Return. Many of the tax returns are now filed on line once they have been approved by the client.
Individuals put their trading results on the self-employment section of the Self-Assessment Tax Return, which then brings in other factors, such as interest received, pensions received, pension contributions made, relevant allowances, and so on – then this all makes up the overall personal Tax Return.
Partners in a partnership need to compile a Partnership Tax Return summarising the results of the partnership and then each partner reflects their share of the partnerships’ profits (or losses) on their individual Tax Returns. Partners pay income tax on their share of the taxable profits.
Companies have to compile Corporation Tax Returns which summarise the performance of the company for the relevant accounting period and declare the profits made and tax calculated as due, for the Tax Office to check. Companies pay corporation tax based on their taxable profits.
If a tax refund is due, the tax return assists Astons Accountants support you in claiming the money back from HMRC.