Tax Return Threshold to Rise in 2023/2024
Posted on 2nd June 2023 by Joanne Stoneman
HMRC has announced a change in the threshold at which taxpayers need to complete a tax return.
HMRC has announced a change in the threshold at which taxpayers need to complete a tax return.
Currently, those with income exceeding £100,000 must submit a self-assessment tax return each year. This means that employees with this level of income, who pay all their taxes via PAYE, have to complete a tax return simply to give HMRC the same information it's already been given from payroll submissions and Form P60.
From the next tax year 2023/24, the threshold is increasing to £150,000.
The increase applies to the current tax year, so the last tax return that affected taxpayers need to file is the 2022/23 tax return which is due by 31 January 2024. HMRC will write to those who have no other reason to submit a tax return, e.g. to report untaxed income or a high income child benefit charge, to confirm that they have been removed from self-assessment.