A tax return is a form which one will have to fill with all the details required for HM revenue and customs. The things which will need to be detailed on the form is one’s yearly income, tax return, tax that has been paid and the tax you are responsible to pay.
If the tax return has been issued to you than you will be legally responsible to fill the details on the form and if it has not been sent you will have a penalty of some money issued. If someone is using software to complete return he will get a notice that it is due. If someone get it without taxpayer even the tax is due, they should inform HMRC so that the department can send a return. Many people get so much worried about preparing it but it is not that hard at all. There is not much to think about. One can prepare it electronically.
It can help in many ways, there are lots of things that can be checked whether done correctly or not such as one can ensure that the accurate amount of tax has been paid or not. It form need to be filled and sent back even if you have paid all amount and there is nothing due. It is a form which tells the accountability of the payer to HMRC whether he can pay it or not and that depends on the yearly income of the business. The result of the filing can tell us if the payer has been charge extra amount or less amount or even if he has paid correct amount of tax. One will have to put details in the document about the capital gains of business and if there any reliefs and allowances being claimed. The year of it starts from 6th April and it ends on 5th April. Not all people need to file it; there are some needs it and they will get a notice to file. It is important to notify the exact date on which the business has been started if not you can get a penalty. The person who is dealing with your estate should also file the estate tax return.
After you have filed it, HMRC will have 12 month to start the inquiry and if one failed to file it before the deadline than the department will have to investigate and it will be started in the quarter day of the first anniversary year. HMRC can ask for a hearing. HMRC do not provide appropriate support mechanism. Make sure that you are following the rules otherwise you will get yourself indulged in a big problem.