Don't let the deadline for filing your tax return for self-assessment slip your mind.
There is still time for you to assemble everything you need and send off your tax return, even though the deadline for filing your Self-Assessment Tax Return is the 31st of January. If you haven't yet submitted yours, don't panic because there is still time to do so.
Gather all of your paperwork and organise it in a logical sequence.
Ensure that all of your accounting information can be found in a single location. This includes records of sales and income, business expenses, VAT numbers, and PAYE documentation if you hire anyone.
It is a best practise to store everything in one location; but, if you can't find everything, don't wear yourself out trying to seek for certain documents. Keeping everything in one location is generally a good approach. It ought should be possible for you to finish your tax return by mentioning that you received salary and profits.
Include all required pieces of information.
You are required to report every source of income that you have in order to correctly submit your tax return and stay clear of any potential fines. This could come from a variety of places, including new work, pensions, property interest, or interest on investments.
If you include terms like 'more information to follow,' the HMRC won't accept your tax return, and you could be subject to a penalty for doing so. Therefore, you need to be completely upfront when you are adding your information.
Don't forget to make your payments.
While you are working on completing your tax return, there is one more thing you need to keep in mind: the deadline for making any payments that you may owe is the 31st of January. This includes making any payments that are required on accounts that you owe.
Don't put off making these necessary payments! If you pay your taxes late, you will be subject to penalties from HMRC. Please go here if you would need more information regarding deadlines and the fines that are imposed for missing them.
Do not be hesitant to ask for assistance if you are concerned about being able to keep up with the payments on time. Contact the HMRC to discuss the possibility of working out a payment plan with them. This link provides access to additional details.
The failure to meet the deadline
We really hope that you will be able to send in all that you require by the 31st of January, but if you are unable to, please don't stress about it. You are free to send it at a later time, but there will be a penalty assessed to your account in the amount of £100.
If you act quickly, you can avoid accruing a significant amount of further fines. For instance, if you file your tax return three months after the due date, you will be assessed a fee of £900. If you are overdue by twelve months, you may be subject to an extra penalty equal to fifteen percent. To steer clear of incurring any fines, it is critical to make sure that everything is ready well in advance of the deadline.
Explanations that can be accepted for missing the deadline.
Get in touch with HMRC if you feel that you have a valid reason for missing the deadline. If they accept your explanation, you will not be subject to any fines. Regarding this, a decision is made on a case-by-case basis. You shouldn't rely on excuses in order to get extra time to complete your tax return; nevertheless, there are some explanations that are acceptable, such as a serious illness or a death in the family.
Now it's your turn.
Naturally, if you are a client of Cheap accountants in London, the process of preparing your tax return based on your self-assessment will have already begun. However, if you would need some further advice on being ready for the deadline for filing your tax return based on your own self-assessment, this guidance can be of assistance. Continue to check back on our blog for the latest information and hints.