Directors and Registration for Self-Assessment

[Blaby Loyal]

I'm friends with someone who has been asked to become a director of a not-for-profit organisation.

The organisation's accountant has advised that on becoming a director my friend will need to register for Self-Assessment with HMRC.

When challenged about this, the accountant has simply stated that it is an HMRC requirement and they (the accountants) register all directors for Self-Assessment.

I have checked on "do I need to register for Self-Assessment" on HMRC's website and can find nothing to support what the accountant is claiming.

I recall that a similar (if not identical) post was made in a reply during the past two weeks or so but I don't seem able to find it.

 

[UK Contractor Accountant]

https://www.accountingweb.co.uk/tax/hmrc-policy/hmrc-changes-guidance-for-directors-returns

 

[STDFR33]

The accountant is wrong.

HMRC used to publish that if you were a director you must register for Self Assessment. This guidance was garbage and any knowledgeable accountant knew this.

The requirement to complete a Self Assessment Tax Return can be found in s8, TMA 1970.

 

[TheCyclingProgrammer]

Definitely no requirement and as mentioned above HMRC have finally recently updated their guidance.

The online tool to check if you now need to complete a tax return should also reflect this.

Some accountants seem to parrot the old HMRC line on this so it may take some time to filter through.

 

[Blaby Loyal]

Thanks all. It's the same old problem that I've faced all my 'professional' life: people will always take as Gospel anything someone with a qualification says.

 

[STDFR33]

Some accountants seem to parrot the old HMRC line on this so it may take some time to filter through.

Probably a money spinner for some of the unscrupulous accountants out there ... 'HMRC say you have to do it and we can do it for just £150 + VAT'.

 

[MyAccountantOnline]

Thanks all. It's the same old problem that I've faced all my 'professional' life: people will always take as Gospel anything someone with a qualification says.

I always thought anything said by the mate down the pub was gospel

 

[Blaby Loyal]

I always thought anything said by the mate down the pub was gospel

Depends on what they're spouting on about.

As one of my many anecdotes (amusing some say) I was in a proper pub in sarf-east Laaarndun in the early 1990s and got into a mad argument with a tramp-like fella over whether or not Tutankhamun was buried in the Valley of the Kings. Turned out the tramp was correct.

 

[STDFR33]

Depends on what they're spouting on about.

As one of my many anecdotes (amusing some say) I was in a proper pub in sarf-east Laaarndun in the early 1990s and got into a mad argument with a tramp-like fella over whether or not Tutankhamun was buried in the Valley of the Kings. Turned out the tramp was correct.

I'll be off to see it in June. I'll update the thread with photos ha.

 

[SteveHa]

The requirement to complete a Self Assessment Tax Return can be found in s8, TMA 1970.

And the requirement to notify chargeability is at S7 TMA 1970.