2 min read
Definition
Self Assessment is HMRC's system for individuals — including many company directors — to report income not taxed at source, such as dividends, and pay any income tax due, via an annual tax return.
In plain terms
Your company files corporation tax; you personally may still file Self Assessment for dividends and other income. The two are separate, and directors often need both.
Why it matters for your company
Directors taking dividends usually must file Self Assessment and budget for the personal tax on them, due by 31 January. Confusing personal and company tax is a common director error — keep the two clearly apart.
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