The deadline for registering for self assessment is 5 October for the 2017-18 tax year.

Anyone submitting a self assessment return for the first time – including higher income child benefit charge (HICBC) taxpayers - need to register by 5 October so that they can complete their return by 31 January and avoid an automatic £100 penalty for failure to file.

Individuals need to do a tax return if they:

•  earn more than £2,500 from renting out property;

•  have a partner who receives child benefit and either has an annual income of more than £50,000, the so-called higher income child benefit charge;

•  earned more than £2,500 in other untaxed income, for example from tips or commission;

•  are self-employed sole traders;

•  are limited company directors;

•  are shareholders;

•  employees claiming expenses in excess of £2,500/tax year; or

• have an annual income over £100,000.

The deadline for self assessment returns 2017-2018 is 31 January 2019.

The penalties for late tax returns include an initial £100 fixed penalty, which applies even if there is no tax to pay, or if the tax due is paid on time; after three months, additional daily penalties of £10 per day, up to a maximum of £900; after six months, a further penalty of 5% of the tax due or £300, whichever is greater; and after 12 months, another 5% or £300 charge, whichever is greater.

There are also additional penalties for paying late of 5% of the tax unpaid at 30 days, six months and 12 months.

Angela MacDonald, director general of customer services, said: ‘January may seem a long time away but if you have not done self assessment before and you are now eligible you need to register. We know that some customers don’t always realise they need to do self assessment, like those who earn more than £50,000 and receive child benefit, so please check if this applies to you.’

Full details at www.gov.uk/selfassessment or from the HMRC self assessment helpline on 0300 200 3310.

By Sara White