HMRC have released a call for evidence, 'Income Tax Self Assessment (ITSA) registration for the self-employed and landlords'. It seeks views on the case for reforming the registration process for ITSA for individuals with those sources of income.

At a glance

The call for evidence is seeking views on the initial interactions between individuals who are self-employed or are in receipt of rental income and HMRC and follows earlier calls for evidence entitled ‘The tax administration framework: supporting a 21st century tax system’ and ‘Timely payment’.

The aim is to understand whether:

  • Bringing forward the point at which taxpayers are required to identify themselves to HMRC will help taxpayers stay on top of their tax affairs.
  • Changes could help create a more efficient tax system that gives taxpayers clarity on their obligations.
  • Earlier registration could lead to earlier entitlement to additional benefits.
  • The benefits of Making Tax Digital could be accessed sooner.

The hypothetical changes to the registration system on which views are sought include:

  • Reducing the notification deadline to two, three or four months after the tax year end.
  • Changing the obligation to notify based on commencement of the income source rather than the tax year.
  • Notification based on a turnover threshold.
  • Whether third party data could be used to increase awareness of obligations.
  • Encouraging use of digital record keeping and integration with tax reporting.
  • Increased online interaction with taxpayers.

Responses can be made by email to: This email address is being protected from spambots. You need JavaScript enabled to view it. by 22 March 2022.

Useful guides on this topic

New business: Sole trader compliance checklist
Starting in business? A new business registration checklist.

Call for Evidence: Tax Administration Framework
The call for evidence seeks views on how the tax administration framework could be reformed to provide a better experience for individuals and businesses with a view of reducing the tax gap and providing flexibility to adapt.

Call for Evidence: Timely payment
HMRC have opened a new call for evidence about the timely payment of Corporation Tax by small companies, and Income Tax. It seeks views on the opportunities and challenges of introducing in-year calculation and payment of these taxes.

External Links

Call for evidence: Income Tax Self Assessment registration for the self-employed and landlords

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