Documents
FAQ's
The names on a document list are easy to mix up. These are the ones that come up on a self-employed mortgage, and which of them a lender usually wants.
What are FULL limited company accounts?
Lenders want to see the full accounts, which contain the details they need to make a lending decision. The accounts submitted to Companies House are usually an abbreviated version, and do not show all the relevant figures. The full versions contain additional information such as turnover, profits and corporation tax. These are the versions we need. Ask your accountant specifically for the full accounts.
What is a tax return?
This is the form produced as confirmation of the full personal tax return, once it has been submitted. It shows all the inputs as sent to HMRC. Typically, we do not need this form.
What is a tax computation?
This is the summary that lists the taxable income on the tax return. It is usually a one or two page document, listing the income sources and amounts: salary, dividend, self-employment, partnership, property income and so on. We do need this form. It is usually available from your accountant.
What is an SA302?
This is the HMRC-produced version of the tax computation. Lenders do not usually need to see the formal SA302 issued by HMRC. HMRC does not want to provide forms for mortgage applications, so the documents lenders need are available from an accountant, or from the HMRC self-service portal if you submit your personal tax return yourself and do not use an accountant.
What is a tax year overview (TYO)?
This shows the tax due and the tax paid. Lenders want it to corroborate the figures on the accountant’s tax computation or the SA302. It is issued by HMRC, which makes it a trusted income document, and it is produced through the HMRC self-service portal. If you use an accountant, they have access as your agent and you will not be able to get it yourself. If you submit directly, you can get it with your own HMRC logon.
In summary
Even though a mortgage for a limited company shareholder or director can be driven by the income numbers on the company accounts, many lenders still want copies of your personal tax figures as well.
If you use an accountant
They can provide:
- Last 2 years’ tax computation summaries
- The matching tax year overview (TYO) for each of those years
If you file your own return
Your HMRC logon gives you access to:
- Last 2 years’ tax computation summaries or SA302s
- The matching tax year overview (TYO) for each of those years