Money & Independence
My First Tax Return
General information drawn from common experience and public guidance — not medical, legal, or financial advice. For anything urgent or personal to your situation, speak with a qualified professional.
What to expect
Registration can take weeks, so the deadline that matters comes earlier than the filing date. Gathering income and expense evidence is the bulk of the effort. The bill is often larger than expected because tax and any payment-on-account arrive together.
How to prepare
- Register early — identity and account setup can take weeks.
- Open a separate account for self-employed income and set aside a percentage from every payment.
- Keep invoices, receipts, and bank statements monthly rather than annually.
- Learn which expenses are allowable in your country before guessing.
What people say
“The filing deadline wasn't my problem. Getting an account set up in time was.”
“I owed tax plus an advance payment on next year. That doubled the bill.”
What helps
- A simple spreadsheet or app updated monthly.
- Setting aside a fixed percentage of every invoice on the day it's paid.
- An accountant for the first return, then copying their structure yourself.
- Filing early — the numbers are the same, the panic isn't.
Do and don't
- Do keep personal and business spending separate.
- Don't claim expenses you can't evidence.
- Don't ignore letters from the tax authority; penalties compound.
When to get help
- Unopened correspondence or missed deadlines.
- Spending tax money you've collected but not yet paid.
- Anyone promising to make a large liability disappear.
What it costs
Set aside
Often 25–35% of self-employed income
Accountant
Modest against a mistake
Penalties
Late filing and late payment stack
Afterwards
Diary next year's deadlines and payment dates the day you file. The second return takes a fraction of the time if the records exist.
Why it matters
You start treating income as gross rather than net, and set money aside before spending it.
Set aside
Often 25–35% of self-employed income
Accountant
Modest against a mistake
Where to turn
Your national tax authority's guidance for the newly self-employed
Related firsts
Life first · general information, not professional advice