\n <\/i>\n Key Takeaways<\/span>\n <\/h3>\n \n \n\n- Many individuals will have a busy start to 2025, with several Self Assessment tasks to complete by 31 January\u2014filing an online tax return, paying tax for the 2023-24 tax year, and making a first ‘payment on account’ for the 2024-25 tax year.<\/span><\/li>\n
- The start of the 2025-26 tax year brings certain changes, most notably an increase in employer National Insurance from 13.8% to 15%, a reduction in the Secondary Threshold from \u00a39,100 to \u00a35,000 per year, and an increase in the Employment Allowance from \u00a35,000 to \u00a310,500 per year.<\/span><\/li>\n
- Various changes to UK company law will take effect throughout 2025, including a new identity verification process for company incorporations, directors, and people with significant control.<\/span><\/li>\n<\/ul>\n
<\/div>\n <\/div>\n <\/span><\/p>\n31 January: Self Assessment deadlines\u00a0<\/span><\/h3>\n<\/add-to-calendar-button>\nThe end of January is a crucial time for any UK business owners who file through Self Assessment. Whether you\u2019re a sole trader, a partner in a business partnership, or a limited company director<\/a> and shareholder, make sure you fulfil the following Self Assessment obligations by this deadline (where applicable):<\/p>\nFile an online Self Assessment tax return<\/h4>\n
If you need to complete a Self Assessment tax return for the 2023-24 tax year (6 April 2023 to 5 April 2024), you must deliver it to HMRC online by midnight on 31 January 2025. \u00a0<\/span><\/p>\nHMRC will impose an automatic late filing penalty of \u00a3100 if you submit your return after the deadline. Additional penalties will apply if your tax return remains outstanding after 3, 6, and 12 months.\u00a0<\/span><\/p>\nPay your 2023-24 Self Assessment bill\u00a0<\/span><\/h4>\nIf you owe any Self Assessment tax for income received in the 2023-24 tax year, you must pay your bill in full by midnight on 31 January 2025. Depending on your income and deductions, your bill may include:<\/p>\n
\n- Income Tax\u00a0<\/span><\/li>\n
- Class 4 National Insurance contributions (NICs)<\/li>\n
- Voluntary Class 2 NICs\u00a0<\/span><\/li>\n
- Tax on dividends<\/a><\/li>\n
- Capital Gains Tax (CGT)<\/li>\n
- Student Loan repayments<\/li>\n<\/ul>\n
However, only a balancing payment will be due by 31 January if you\u2019ve already made \u2018payments on account\u2019 in 2024. Most self-employed people make two payments on account (advance payments) towards their next Self Assessment tax bill, then a balancing payment (any remaining amount due) by the 31 January deadline.<\/p>\n
Remember to file your Self Assessment tax return by 31 January<\/span><\/a>\n Self Assessment guidance for company directors and shareholders<\/span><\/a>\n Self Assessment – 16 common questions answered\u00a0<\/span><\/a>\n <\/p>\nMany individuals report and pay Capital Gains Tax through Self Assessment or HMRC\u2019s \u2018real time\u2019 CGT service. However, if your capital gain is from a UK residential property, you must report and pay within 60 days of selling the property. You do this online using a ‘Capital Gains Tax on UK property’ account.\u00a0<\/span><\/p>\nFirst payment on account for the 2024-25 tax year<\/h4>\n<\/add-to-calendar-button>\nIn addition to paying your Self Assessment bill for the 2023-24 tax year, you\u2019ll need to make your first payment on account for your 2024-25 tax bill by 31 January 2025 unless:<\/p>\n
\n- your previous Self Assessment tax bill (for 2023-24) is less than \u00a31,000 or<\/li>\n
- in the 2023-24 tax year, you paid more than 80% of the tax you owed outside of Self Assessment (e.g. through your PAYE tax code or because your bank already deducted interest on your savings)<\/li>\n<\/ul>\n
HMRC will estimate your payments on account<\/a> based on your previous year\u2019s tax bill. Therefore, your first payment on account will be 50% of your 2023-24 tax bill.<\/p>\n![\"HM](\"https:\/\/www.qualityformationsblog.co.uk\/wp-content\/uploads\/2024\/01\/Shutterstock_1862633668-1.jpg\")
<\/h4>\n1 February: Changes to Alcohol Duty rates<\/h3>\n<\/add-to-calendar-button>\nOn 1 February 2025, Alcohol Duty rates<\/a> on non-draft products will increase in line with the forecast Retail Price Index (RPI) inflation figure of 3.65%. This process is known as \u2018uprating\u2019. Non-draught alcohol includes wine, spirits, and bottled or canned beer and cider.\u00a0<\/span><\/p>\nThe following changes will also take effect from the same date:<\/p>\n
\n- A 1.7% cut (in cash terms) to Alcohol Duty rates on qualifying draught products, including qualifying beer and cider, wine, other fermented products, and spirits\u00a0<\/span><\/li>\n
- An end to the current temporary wine easement<\/li>\n
- An increase in the cash discount provided to small producers for non-draught products (Small Producer Relief)<\/li>\n<\/ul>\n
These changes mean that the price of still and sparkling wine will increase by an average of 15p per bottle, while the cost of an average-strength pint will be 1p cheaper.<\/p>\n
26 March: Spring Forecast<\/h3>\n<\/add-to-calendar-button>\nIn line with the Budget Responsibility and National Audit Act 2011, the Office for Budget Responsibility (OBR) must produce two economic and fiscal forecasts each financial year.\u00a0<\/span><\/p>\nThe Chancellor of the Exchequer, Rachel Reeves, has confirmed that the Spring Forecast will take place on Wednesday, 26 March 2025. This will provide an update on the UK economy and the government’s progress since the 2024 Autumn Budget.<\/p>\n
1 April: National Minimum Wage increases<\/h3>\n<\/add-to-calendar-button>\nIf you employ staff, you are legally required to pay them at least the National Living or Minimum Wage. The applicable rate depends on the person\u2019s age and whether they are an apprentice.<\/p>\n
Per the recommendations of the Low Pay Commission, the following National Living Wage and National Minimum Wage rates take effect from 1 April 2025:<\/p>\n
- \n
- Many individuals will have a busy start to 2025, with several Self Assessment tasks to complete by 31 January\u2014filing an online tax return, paying tax for the 2023-24 tax year, and making a first ‘payment on account’ for the 2024-25 tax year.<\/span><\/li>\n
- The start of the 2025-26 tax year brings certain changes, most notably an increase in employer National Insurance from 13.8% to 15%, a reduction in the Secondary Threshold from \u00a39,100 to \u00a35,000 per year, and an increase in the Employment Allowance from \u00a35,000 to \u00a310,500 per year.<\/span><\/li>\n
- Various changes to UK company law will take effect throughout 2025, including a new identity verification process for company incorporations, directors, and people with significant control.<\/span><\/li>\n<\/ul>\n
<\/div>\n <\/div>\n <\/span><\/p>\n
31 January: Self Assessment deadlines\u00a0<\/span><\/h3>\n
<\/add-to-calendar-button>\n The end of January is a crucial time for any UK business owners who file through Self Assessment. Whether you\u2019re a sole trader, a partner in a business partnership, or a limited company director<\/a> and shareholder, make sure you fulfil the following Self Assessment obligations by this deadline (where applicable):<\/p>\n
File an online Self Assessment tax return<\/h4>\n
If you need to complete a Self Assessment tax return for the 2023-24 tax year (6 April 2023 to 5 April 2024), you must deliver it to HMRC online by midnight on 31 January 2025. \u00a0<\/span><\/p>\n
HMRC will impose an automatic late filing penalty of \u00a3100 if you submit your return after the deadline. Additional penalties will apply if your tax return remains outstanding after 3, 6, and 12 months.\u00a0<\/span><\/p>\n
Pay your 2023-24 Self Assessment bill\u00a0<\/span><\/h4>\n
If you owe any Self Assessment tax for income received in the 2023-24 tax year, you must pay your bill in full by midnight on 31 January 2025. Depending on your income and deductions, your bill may include:<\/p>\n
- \n
- Income Tax\u00a0<\/span><\/li>\n
- Class 4 National Insurance contributions (NICs)<\/li>\n
- Voluntary Class 2 NICs\u00a0<\/span><\/li>\n
- Tax on dividends<\/a><\/li>\n
- Capital Gains Tax (CGT)<\/li>\n
- Student Loan repayments<\/li>\n<\/ul>\n
However, only a balancing payment will be due by 31 January if you\u2019ve already made \u2018payments on account\u2019 in 2024. Most self-employed people make two payments on account (advance payments) towards their next Self Assessment tax bill, then a balancing payment (any remaining amount due) by the 31 January deadline.<\/p>\n
Remember to file your Self Assessment tax return by 31 January<\/span><\/a>\n Self Assessment guidance for company directors and shareholders<\/span><\/a>\n Self Assessment – 16 common questions answered\u00a0<\/span><\/a>\n <\/p>\n
Many individuals report and pay Capital Gains Tax through Self Assessment or HMRC\u2019s \u2018real time\u2019 CGT service. However, if your capital gain is from a UK residential property, you must report and pay within 60 days of selling the property. You do this online using a ‘Capital Gains Tax on UK property’ account.\u00a0<\/span><\/p>\n
First payment on account for the 2024-25 tax year<\/h4>\n
<\/add-to-calendar-button>\n In addition to paying your Self Assessment bill for the 2023-24 tax year, you\u2019ll need to make your first payment on account for your 2024-25 tax bill by 31 January 2025 unless:<\/p>\n
- \n
- your previous Self Assessment tax bill (for 2023-24) is less than \u00a31,000 or<\/li>\n
- in the 2023-24 tax year, you paid more than 80% of the tax you owed outside of Self Assessment (e.g. through your PAYE tax code or because your bank already deducted interest on your savings)<\/li>\n<\/ul>\n
HMRC will estimate your payments on account<\/a> based on your previous year\u2019s tax bill. Therefore, your first payment on account will be 50% of your 2023-24 tax bill.<\/p>\n
<\/h4>\n1 February: Changes to Alcohol Duty rates<\/h3>\n
<\/add-to-calendar-button>\n On 1 February 2025, Alcohol Duty rates<\/a> on non-draft products will increase in line with the forecast Retail Price Index (RPI) inflation figure of 3.65%. This process is known as \u2018uprating\u2019. Non-draught alcohol includes wine, spirits, and bottled or canned beer and cider.\u00a0<\/span><\/p>\n
The following changes will also take effect from the same date:<\/p>\n
- \n
- A 1.7% cut (in cash terms) to Alcohol Duty rates on qualifying draught products, including qualifying beer and cider, wine, other fermented products, and spirits\u00a0<\/span><\/li>\n
- An end to the current temporary wine easement<\/li>\n
- An increase in the cash discount provided to small producers for non-draught products (Small Producer Relief)<\/li>\n<\/ul>\n
These changes mean that the price of still and sparkling wine will increase by an average of 15p per bottle, while the cost of an average-strength pint will be 1p cheaper.<\/p>\n
26 March: Spring Forecast<\/h3>\n
<\/add-to-calendar-button>\n In line with the Budget Responsibility and National Audit Act 2011, the Office for Budget Responsibility (OBR) must produce two economic and fiscal forecasts each financial year.\u00a0<\/span><\/p>\n
The Chancellor of the Exchequer, Rachel Reeves, has confirmed that the Spring Forecast will take place on Wednesday, 26 March 2025. This will provide an update on the UK economy and the government’s progress since the 2024 Autumn Budget.<\/p>\n
1 April: National Minimum Wage increases<\/h3>\n
<\/add-to-calendar-button>\n If you employ staff, you are legally required to pay them at least the National Living or Minimum Wage. The applicable rate depends on the person\u2019s age and whether they are an apprentice.<\/p>\n
Per the recommendations of the Low Pay Commission, the following National Living Wage and National Minimum Wage rates take effect from 1 April 2025:<\/p>\n
- A 1.7% cut (in cash terms) to Alcohol Duty rates on qualifying draught products, including qualifying beer and cider, wine, other fermented products, and spirits\u00a0<\/span><\/li>\n
- The start of the 2025-26 tax year brings certain changes, most notably an increase in employer National Insurance from 13.8% to 15%, a reduction in the Secondary Threshold from \u00a39,100 to \u00a35,000 per year, and an increase in the Employment Allowance from \u00a35,000 to \u00a310,500 per year.<\/span><\/li>\n
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\n <\/a>\n <\/div>\n \n![](\"https:\/\/cdn-brand.s3.eu-west-1.amazonaws.com\/assets\/images\/WFT_BANNER_326x341.png\"\n\t\t\t\t\talt=\"Worldfirst)
\n\t\t\t\t![\"Worldfirst](\"https:\/\/cdn-brand.s3.eu-west-1.amazonaws.com\/assets\/images\/WFT_BANNER_980x150.jpg\"\n)
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