If you’re one of the 11 million UK taxpayers who need to submit a self-assessment tax return and you’ve not done it yet, you need to crack on. The cut off is midnight on 31 January and even if it turns out you don’t owe a penny, you’ll still be fined £100 if you miss the deadline.
Does it affect me?
If you’re self-employed, a partner in a business, or a paid company director you’ll need to file a return. Tax rules and regulations are always changing, however, and it’s not safe to assume that if you don’t fall into one of the above groups you’re off the hook. Income from savings and investments, property rental or capital gains are just a few of the things that could mean a return is required.
How do I do it?
The deadline for filing a paper return has already passed, and your only option now is to file online. If you’ve not previously used the online service, you have to register and it can be several days before you can access the systems. Don’t delay. Do it today.
Completing the self-assessment itself is not as difficult as you might fear. The online system guides you through it step by step, and there is plenty of helpful information you can use as you go. If you’ve got decent records, it doesn’t even take that long. When completed, the system calculates the tax you owe.
When do I have to pay up?
Here’s the critical thing – the deadline for the return and the payment are the same — midnight, 31 January 2017. Waiting for the last minute isn’t a good idea. If you need to phone HMRC’s helpline, you’ll find them extremely busy. Last minute hiccups with your computer, with internet connections and with overloaded websites do happen.
What if I miss the deadline?
HMRC start with the flat £100 fine. If things go on, the penalties increase and they start to add interest to any amounts you may owe. If you have a genuine problem, contact them well in advance of the deadline. There’s no guarantee they’ll be accommodating, but it’s better than coming up with excuses after the event.
Where can I go for help?
Many accountants are very busy at this time of year, but If your affairs are fairly simple, you might not need professional help. With good record keeping – like that provided by Choices Driven – you should have a good start. In addition, HMRC has lots of helpful information. You can find more from them at gov.uk/self-assessment-tax-returns.
Our advice – register today, get your records together and get on with the job. Then you can relax.
