Self-Employed Record Keeping UK 2027/28: What to Keep and Key Dates
Good records make your Self Assessment tax return quicker, help you claim every allowable expense and mean you are ready if HMRC ever asks questions. This guide explains what sole traders need to record for the 2027/28 tax year, the key dates and how long to keep everything.
The 2027/28 tax year at a glance
| What | Date |
|---|---|
| Tax year starts | 6 April 2027 |
| Tax year ends | 5 April 2028 |
| Register for Self Assessment if you are newly self-employed | by 5 October 2028 |
| Paper tax return deadline | 31 October 2028 |
| Online tax return and balancing payment deadline | 31 January 2029 |
| Second payment on account (if you pay them) | 31 July 2029 |
What records to keep
HMRC expects you to keep records of all your business sales and income and all your business expenses. In practice that means:
- Income: sales invoices, till rolls or receipts, and bank statements showing money in
- Expenses: receipts and invoices for everything you buy for the business
- Bank records: statements for any account you use for the business (a separate business account makes this much easier)
- Mileage: a log of business journeys if you use simplified mileage rates (55p a mile for the first 10,000 business miles in a car or van, then 25p)
- Other income: details of any grants or other income relating to the business
A simple monthly routine works well: log money in and money out, file the receipts, total the month and put money aside for tax.
Common allowable expense categories
You can claim costs that are wholly and exclusively for the business. Common categories include office costs (stationery, phone bills), travel costs, clothing such as uniforms or protective wear, stock and materials, staff costs, financial costs such as bank charges, premises costs, advertising and marketing, and training directly related to your business. If something is partly personal, you can only claim the business part.
If your expenses are small, you may be able to use the £1,000 trading allowance instead of claiming actual expenses.
Cash basis is now the default
From the 2024/25 tax year onwards, most sole traders use the cash basis by default. That means you record income when you actually receive it and expenses when you actually pay them, which is simpler than accruals accounting. You can opt out if traditional accounting suits your business better.
Making Tax Digital for Income Tax
Making Tax Digital (MTD) for Income Tax requires some sole traders and landlords to keep digital records and send quarterly updates to HMRC using compatible software. It started in April 2026 for people with qualifying income over £50,000, and from 6 April 2027 it applies to those with qualifying income over £30,000 (with a further step down to over £20,000 planned from April 2028). Qualifying income is your total income from self-employment and property before expenses. If you are in scope, a paper record book can help you organise receipts and plan, but you will also need MTD-compatible software. Check gov.uk to see whether and when MTD applies to you.
How long to keep your records
If you are self-employed you must keep your records for at least 5 years after the 31 January submission deadline for the tax year. For 2027/28, that means keeping them until at least 31 January 2034. Keep them longer if your return is late or HMRC is checking it.
Driving for work too? See our mileage log guide, or if you work in construction, the CIS deductions tracker guide.
This guide is general information, not tax advice. Rules and thresholds can change. Check gov.uk or speak to an accountant about your own situation.
