UTR problems

[VillageContractor]

There's no need to register just because you're just a director or shareholder, but you do have a responsibility to notify HMRC of any untaxed income. HMRC will not request a tax return unless something on their system flags you up as needing one and they can't guess if you've got untaxed income. Failure to notify HMRC by 6 October following the end of the tax year in which you owe tax could result in a penalty.

This doesn't have to necessarily mean registering for SA, if the tax owed is below a certain threshold it can sometimes be collected through your tax code. But you are supposed to notify them.

That being said, unless OP's wife received dividends over the higher rate tax threshold for 15/16, she shouldn't owe any tax. But she probably will for 16/17 due to the new dividend tax changes so would have had to register sooner or later.

I *think* she is on the higher rate so owes some tax.

[TheCyclingProgrammer]

I *think* she is on the higher rate so owes some tax.

I'm guessing she's also employed. Remember she'll need to fill out an employment sheet as well if she is. The return itself should be fairly simple and should only take half hour.

[Kugel]

There's no need to register just because you're just a director or shareholder, but you do have a responsibility to notify HMRC of any untaxed income.

Wrong. Check https://www.gov.uk/check-if-you-need-a-tax-return or https://www.gov.uk/self-assessment-t...d-a-tax-return.

[VillageContractor]

I'm guessing she's also employed. Remember she'll need to fill out an employment sheet as well if she is. The return itself should be fairly simple and should only take half hour.

Employment sheet?

[TheCyclingProgrammer]

Wrong. Check https://www.gov.uk/check-if-you-need-a-tax-return or https://www.gov.uk/self-assessment-t...d-a-tax-return.

Do we really have to do this again? I'm aware of what the HMRC guidance says. It has no legal basis whatsoever. Taxpayers only have a legal obligation to notify HMRC of any untaxed income and submit a return if they receive a notice to file one. S7, Taxes Management Act 1970. Do a search.

[TheCyclingProgrammer]

Employment sheet?

A supplementary sheet to the main tax return. One is required per employment or paid directorship.

[ladymuck]

There's no need to register just because you're just a director or shareholder, but you do have a responsibility to notify HMRC of any untaxed income. HMRC will not request a tax return unless something on their system flags you up as needing one and they can't guess if you've got untaxed income. Failure to notify HMRC by 6 October following the end of the tax year in which you owe tax could result in a penalty.

This doesn't have to necessarily mean registering for SA, if the tax owed is below a certain threshold it can sometimes be collected through your tax code. But you are supposed to notify them.

That being said, unless OP's wife received dividends over the higher rate tax threshold for 15/16, she shouldn't owe any tax. But she probably will for 16/17 due to the new dividend tax changes so would have had to register sooner or later.

Fair point. I had a hunch I'd misread/misinterpreted something.

[VillageContractor]

HMRC are amusing. Mrs VC spent an hour on Friday kicking off (I feel sorry for whoever was on the other end) to be told that they will process it that day and it would be given to her on Saturday over the phone.

She calls up today and there is no record of her call on Friday and no UTR... again the promise of it being done today and available tomorrow.