HMRC has updated its online tool
HMRC has warned that people may need to submit a return(Image: sturti via Getty Images)
HMRC has issued fresh guidance to people across the UK to make sure they don’t overlook completing a crucial check.
Millions of workers with side hustles, rental income or freelance earnings are being urged to verify whether they need to file a tax return, following a new alert from HM Revenue & Customs. The tax authority has launched an updated online tool designed to help people determine whether they are required to complete a Self Assessment return for the 2025-26 tax year.
HMRC has warned that people may need to submit a return if they have begun working for themselves, become a landlord, or earned additional income outside of their primary employment. This comes as increasing numbers of people take on second jobs, sell goods online or let out spare rooms to help manage the ever-rising cost of living.
In a social media post, HMRC said: “Unsure if you might need to complete a tax return? Check if you need to send a Self Assessment tax return.”
The online checker covers the tax year running from April 6, 2025, to April 5, 2026 and poses a series of questions to users regarding their income and personal circumstances.
HMRC said people may need to complete a return if they are:
- Newly self-employed
- A landlord
- A new partner in a business partnership
- Earning more than £1,000 from a side hustle
The tax authority specifically highlighted those making money from online selling or letting out part of their home. Under existing regulations, people can earn up to £1,000 annually from self-employed activity before they may be required to register for Self Assessment under the trading allowance rules.
However, once earnings exceed that threshold, many will be obliged to inform HMRC and potentially submit a return.
Those who might be affected include people regularly selling items online through platforms such as eBay, Vinted, Etsy and Depop, particularly if they are purchasing goods to resell for profit rather than simply disposing of unwanted belongings.
Others potentially impacted include dog walkers, babysitters, cleaners, gardeners, delivery drivers, taxi drivers, tutors, fitness instructors and tradespeople undertaking jobs outside their regular employment.
The regulations may also apply to people generating additional income from social media and online platforms, including influencers, YouTubers, content creators and those earning commission through affiliate marketing.
Freelance workers undertaking graphic design, photography, writing, web design or consultancy work alongside a salaried position may also be required to register.
Landlords may be obliged to complete a return if they receive rental income from a buy-to-let property, holiday let or by letting out rooms in their home above the tax-free allowance limits.
Self Assessment is the mechanism HMRC uses to collect Income Tax from people whose earnings are not automatically taxed through PAYE. Beyond the self-employed and landlords, tax returns are typically required for higher earners with more complicated financial affairs, business partners and certain people with investment income.
Those who fail to register or submit their returns on time may face financial penalties and interest charges. HMRC has confirmed that the online tool will not transmit any personal details to the tax authority and is available to use free of charge.
The checker can be accessed via the Government website and is designed to help people quickly determine whether they need to take action ahead of approaching filing deadlines. Further details are available here.
