Self assessment for a limited company director.

Clarkie73

I have been trying to get an answer from HMRC helpline without success. If someone started a Ltd company June 2019 and to date January 2021 have never paid themselves from the business. Do they still need to a self assessment return? Thanks in advance for anyone who responses.

phoenixd

If they've been sent a notice, it must be done even if it's a nil return. If they've not been sent a notice, there's no obligation to complete one especially if there is nothing to declare. HMRC likes directors to be on self assessment so as to enable the declaration of dividends and other income not taxed at source, but as mentioned, if there's nothing untaxed at source,registering for SA is not mandatory.

Clarkie73

Thank you for taking the time to respond. Your answer was very helpful.

Eleanor186

You used to have to complete a tax return if you were a director but that’s no longer the case. You’d only have to complete the return if your income sources require you to do so. Hmrc do not just issue you with a return unless you register for self assessment, and even if you were issued with a notice to file, you can have this removed if you do not need to submit a return.

Clarkie73

That's really helpful, as you have probably guessed I am just starting out. Information like this is invaluable. Thank you.