Final Declaration · 2026/27 guide
Employment & PAYE
ONLY£15A MONTHA job alongside your business? Understand how employment pay, tax already deducted and benefits fit into your annual MTD tax return.
In developmentWho this guide is for
Sole traders and landlords with a full-time or part-time job, including people who changed employers during the year.
Covered in this guide: Employment (PAYE), with P60/P45 records and benefits in kind supporting the annual review.
Keep your salary out of business turnover
Your employer’s payments are employment income, even when they arrive in the same bank account as customer payments. Keep them separate from your sole-trader sales and property receipts. Your annual return brings the relevant income sources together; your business quarterly updates do not turn salary into business income.
Check each employment, not just the latest payslip
Use your P60 for an employment held at the tax year end and retain P45 details when you leave a job. Compare pay and tax figures for each employer with the information available in your HMRC account. A change of job is a reason to check for missing or duplicated figures before you approve the annual return.
Include taxable benefits and tax already paid
A company car or employer-provided medical insurance may affect your annual position. Check your employer’s benefits information, including whether benefits were taxed through payroll. PAYE already deducted also matters: the annual calculation reconciles the year’s liability with tax paid, rather than simply charging tax again on your gross salary.
Your questions, answered
Will Avona import my P60 automatically today?
No. Employment support is in development. P60 and P45 documents remain important evidence for checking pay and tax; do not assume that a document upload or complete automatic import is currently supported.
Do I include wages in my quarterly business update?
Keep employment income separate from your self-employment or property records. Relevant employment income is considered when completing the annual tax return.
What if HMRC’s employment figures are wrong?
Compare them with your employer’s records and resolve discrepancies with the employer or HMRC as appropriate. Review the corrected position before submitting; imported information still needs checking.
The other parts of your annual return
Savings & investments
Understand how bank interest and dividends fit alongside your business income, including allowances and overseas investment records.
Explore the guide In developmentPensions & retirement
Keep pension receipts separate from rental income, and understand where private pension contributions and tax relief enter your annual review.
Explore the guide Property quarterly support readyProperty & overseas income
Bring UK and overseas rental records into focus, while keeping foreign investment income and annual tax relief claims distinct.
Explore the guide In developmentCapital Gains Tax
Understand the difference between income and asset disposals, and why some property gains need action before your annual return.
Explore the guide In developmentAllowances & charges
Prepare the personal details behind student loan repayments, charitable giving, Marriage Allowance, Child Benefit charges and voluntary Class 2 National Insurance.
Explore the guideGet your records ready for the year ahead.
Use Avona for the quarterly features available now. If your annual return includes other income, gains or reliefs, check that the features you need are available before choosing your filing route.