SA302 Tax Calculations And Your Mortgage

What is an SA302 form?

If you’ve been reading our Guide To Self-Employed mortgages, you might be wondering what your SA302 is and why you need it for your mortgage application.

Your SA302 tax calculation is the form used by HMRC to evidence your earnings for the last 4 years. Based on your submitted self-assessment tax return, many lenders will use this form to assess that your income is accurate and makes the mortgage product affordable.

It’s crucial that these self-assessments are accurate as this SA302 for some lenders will indicate what you can borrow and/or what you can afford in repayments each month.

The SA302 is now (officially) called a Tax Calculation form, but many lenders will still call it an SA302, so it’s important to know what you need.

Where Can You Find Your SA302?

You may need to ask your accountant to get your SA302 (and it may be easier) but here are your options:

If you use online HMRC services:

  1. Log-in to your HMRC account
  2. Go to self-assessment
  3. Go to more self-assessment details
  4. Select the get your SA302 tax calculation option
  5. You can choose to print your full calculation, choose the year, and view it here.

Through your commercial accounting software:

If you or your accountant use commercial accounting software to do your return, you can use that software to print your tax calculation. It may be labelled differently on different systems but your accountant will be able to help you find this.

You can still print a tax year overview from your HMRC online account.

If you’re getting errors such as ‘sa302 no longer available’, you can call HMRC and they will be able to help.

How Does An SA302 Impact A Mortgage Application?

There are no set rules about how much you can borrow with a self-employed mortgage. Lenders will make a decision on how much they think you can borrow, based on your income or net profit. There are some lenders that decide the amount they can lend based on your declared income from the most recent tax year and some will make their decision based on your accounts – often two years’ worth of accounts.

Basically, almost every lender has their own way of judging your affordability. It’s because of this that Mortgage Buddy exists – we help you through what can be a confusing and complex process.