How to fill in your Self Assessment tax return and keep records as a self-employed carer

The key dates

The tax year runs from 6 April to 5 April. For each tax year, the main deadlines are:

• 5 October — register for Self Assessment if it's your first year of self-employment
• 31 October — deadline for paper returns
• 31 January — deadline for online returns and for paying any tax owed
• 31 July — second 'payment on account' if you pay tax in advance
• Missing the 31 January deadline means an automatic £100 penalty, even if you owe no tax, with more added the later it gets

Before you start: what you'll need

Gather these before you sit down to fill it in:

• Your UTR (Unique Taxpayer Reference) and your National Insurance number
• Your Government Gateway user ID and password for your HMRC online account
• Total income from care work for the tax year — your invoices and bank statements
• Totals for your business expenses, with receipts
• Your business mileage log if you drive between clients
• Any other income: a P60 from an employed job, pensions, rental income or savings interest

Step 1: Sign in and start your return

Sign in to your HMRC online account on GOV.UK and choose to complete your Self Assessment return for the right tax year. The online form asks questions first to work out which pages you need — answer yes to being self-employed, and include any employment or other income you had.

Step 2: The self-employment section

You'll give a short description of your business (for example 'self-employed domiciliary carer'), your start date if you started in that year, and your business address. Most carers use their home address.

If your turnover (income before expenses) was under the VAT threshold, you can fill in the short version and just give total figures for income and expenses rather than splitting them into categories.

Step 3: Income and expenses

Enter your total turnover — everything clients or families paid you for the year. Then enter your allowable expenses: costs that are wholly for your care business. Common ones for carers include:

• Business mileage at 45p a mile for the first 10,000 miles, then 25p — or actual vehicle costs, but not both
• Public liability and professional indemnity insurance
• DBS checks, training courses and certificates
• Gloves, aprons and other protective equipment
• The business share of your phone bill
• Accountancy fees and professional memberships (including Carer Hub)
• Instead of individual expenses, you can claim the £1,000 trading allowance — useful only if your costs are very low

Step 4: Check your calculation and pay

HMRC works out your profit (income minus expenses), then your Income Tax and Class 4 National Insurance. Check the figures look right against your own records — the Pay, tax and National Insurance calculator in My Finances gives you an estimate to compare with.

If your bill is over £1,000, you may also be asked to make 'payments on account' towards next year's tax — two advance payments in January and July. This catches many new carers out, so set money aside each month (around 20–25% of profit is a common rule of thumb).

Submit the return, keep the confirmation, and pay by 31 January by bank transfer, debit card or Direct Debit.

Keeping records: what HMRC expects

You must keep records that back up your return for at least 5 years after the 31 January deadline. They can be on paper or digital. Keep:

• Every invoice you send, and when it was paid
• Receipts and bills for every expense you claim
• A mileage log: date, where you drove from and to, the reason and the miles
• Bank statements — ideally from a separate account used only for your care work
• Copies of past tax returns and HMRC letters

A simple routine that works

Little and often beats a January panic. Once a week, log your mileage and snap photos of receipts. Once a month, check which invoices have been paid and move your tax money into a separate savings pot. Once a year, after 5 April, export your figures and do your return early — you'll know what you owe months before you have to pay it.

Carer Hub helps with this: invoices are numbered and marked paid, My Finances totals your paid income for the tax year, the tax calculator estimates what to set aside, and you can export everything as a spreadsheet for your return or your accountant.

Making Tax Digital

HMRC is bringing in Making Tax Digital for Income Tax, which will require sole traders above certain income levels to keep digital records and send quarterly updates using compatible software. It starts with higher earners and extends to more people over the next few years. Check GOV.UK to see if and when it applies to you.

When to get help

If you have several income sources, are unsure what counts as an expense, or have fallen behind, an accountant can save you money and worry. HMRC's helpline and GOV.UK guidance are free. This guide is general information, not tax advice — rates and thresholds change, so always check the current figures on GOV.UK.