HMRC will issue annual tax returns if you are

• Self-employed
• A Company director (but not if you are a director of a not-for-profit company)
• Have rental or other income from property (unless it is less than a certain      amount and can be dealt with through a PAYE tax code)
• Have other income which is not taxed before you get it and the tax cannot be collected through the PAYE system.

If you are a pensioner

Most pensioners do not fill in tax returns. However, tax-free allowances for people 65 or over are based on annual income so a tax return may sometimes be necessary.

If you're a pensioner whose only source of taxable income is your State Retirement Pension, you have to fill in an annual tax return if the amount you receive is higher than your tax-free personal allowances. This is because the Department for Work and Pensions (DWP) which pays the State Retirement Pension does not deduct any tax before the pension is paid.

 What is a tax return

A tax return is a form (paper or online) on which you:

report details of your taxable income, and any capital gains if appropriate

claim tax allowances and tax reliefs.

HM Revenue and Customs (HMRC) may issue a tax return to you each tax year. The tax year runs from 6 April one year to 5 April the next. If you receive a tax return, the law says you must fill it in.

HMRC uses the information on your tax return to work out your tax bill or work out whether you are due a tax refund.

Who should complete a tax return

Most taxpayers do not have to fill in a tax return. If HMRC thinks you are paying the right amount of tax through the Pay As You Earn (PAYE) system on your wages or salary, or on an occupational pension, they will not send you a tax return.