Frequently Asked Questions

No. Once you're registered, your UTR stays the same and you just file a new return each year.

You don't need to do anything differently from year to year in terms of setup. The only exception is if your circumstances change and you no longer need to file — in that case you should contact HMRC to ask them to remove you from Self Assessment, otherwise they'll continue to expect a return from you each year.

If this is your first time filing Self Assessment, yes — you need to register with HMRC before you can file.

The deadline to register is 5 October following the end of the tax year you're reporting. For the 2025/26 tax year (which ended 5 April 2026), that means registering by 5 October 2026.

Once registered, HMRC sends you a Unique Taxpayer Reference (UTR) number by post, which you need before you can file.

If you haven't registered yet, it's worth doing as early as possible to avoid delays. Message us on live chat and we can guide you through it, or book a call with us if you'd prefer to talk it through.

PAYE (Pay As You Earn) is the system your employer uses to deduct income tax and National Insurance from your wages before you're paid. You never have to do anything — it happens automatically.

Self Assessment is how you report income that PAYE doesn't cover, such as freelance work, rental income, dividends, or capital gains.

Some people only ever use PAYE. Others use both. If you have income from multiple sources or anything outside of employment, Self Assessment is how you tell HMRC about it.

Don't ignore it. A notice to file is a legal requirement, and if you miss the deadline the automatic £100 penalty applies even if you end up owing nothing.

Contact HMRC and ask them to withdraw the notice — you can do this by phone or post, explaining why you don't believe you need to file. HMRC will confirm in writing if they agree to remove it. Until you get that confirmation, the return is still due.

If you're unsure how to approach it, message us on live chat and we can advise.

When you inherit a property, you don't pay Capital Gains Tax at the point of inheritance — that's when Inheritance Tax may apply instead.

CGT only comes into play if you later sell the inherited property and it has increased in value since you inherited it.

The gain is calculated from the probate value — the market value of the property at the date of death — not from what the original owner paid for it. So if the property was valued at £300,000 on probate and you sell it for £340,000, your gain is £40,000, not the full increase from the original purchase price.

A few things worth knowing:

If the property was the deceased's main home and you sell it within a certain period, some Private Residence Relief may be available.

If you rent the property out before selling, CGT applies in the normal way from the date of inheritance.

If there are multiple beneficiaries, each person is taxed on their own share of the gain. Our Joint (£449) or Trio (£598) filing options cover all owners in one service.

You must report and pay any CGT within 60 days of completion.

Message us on live chat and we'll talk through what applies to your situation, or book a call with us if you'd prefer.

Yes. Selling a rental property that was never your main home will trigger Capital Gains Tax on any gain you make.

The gain is calculated as: sale price, minus estate agent and solicitor fees, minus the original purchase price and buying costs, minus any capital improvements made during your ownership.

The first £3,000 of your gain is tax-free (the 2025/26 annual exempt amount). The rest is taxed at 18% if you're a basic-rate taxpayer, or 24% if you're a higher-rate taxpayer.

If the property was at some point your main home before you rented it out, part of the gain may be covered by Private Residence Relief, which could reduce your bill. This is one of the most commonly missed reliefs on rental property sales.

You must report the sale and pay the tax within 60 days of completion. This is a legal requirement and missing the deadline results in automatic HMRC penalties.

We handle rental property CGT returns regularly. Fill in our CGT form to get started, or message us on live chat.

Yes, but only genuine capital improvements — not general maintenance or repairs.

Capital improvements are works that added value to the property or adapted it for a new use. These include: extensions and loft conversions; a new kitchen or bathroom (if it's an upgrade, not a like-for-like replacement); structural alterations; and building a garage or outbuilding.

What doesn't count: repainting, replacing a broken boiler with the same type, routine repairs, or general upkeep. These are maintenance costs and HMRC doesn't allow them as deductions.

To claim improvements, you need receipts or invoices for the work. If you no longer have all the paperwork, we can work with what's available — but the more evidence you have, the better.

The cost of improvements is deducted from your gain, which can reduce your CGT bill significantly on a property you've invested in over the years.

Include any improvement costs when you fill in our CGT form and we'll apply them in the calculation.

If you own a property jointly, each owner is taxed on their share of the gain individually.

Each owner gets their own annual CGT exempt amount (£3,000 for 2025/26), so between two owners you effectively have £6,000 of gains that are tax-free before any CGT is due.

Each owner's gain is also taxed at a rate based on their own income — so if one owner is a basic-rate taxpayer and the other is a higher-rate taxpayer, they'll each pay a different rate on their share. This can work in your favour if the owners are in different income bands.

Ownership is usually split equally (50/50 for married couples), but if you own the property in unequal shares these should be formally documented to ensure HMRC taxes each person on the correct proportion.

For jointly owned property sales, we offer our Joint filing at £449 (two owners) or Trio at £598 (three owners), which covers the full gain calculation and filing for all owners in one service.

If you're unsure how your ownership is split or how the gain should be divided, message us on live chat or book a call with us.