January Tax Blues – 01344 834 260

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It’s that time of year when the tax adverts are shown more often on the TV exclaiming that “tax does not have to be taxing”. For most people though, it is, especially if you have not been organised during the year and are now racking your brains trying to remember what you did 18 months ago, and digging round the back of the sofa searching for receipts. You look in the expanding file where you promised to put all your receipts and it is decidedly empty. Last years resolution went to pot quite quickly!

There are many reasons why you may need to complete a self-assessment tax return, but the main groups of people are*:

  • the self employed;  Help Ponit 1
  • people that earn money from property;
  • a director of a company – unless no income or benefits were received;
  • those that claim child benefit and they (or their partner) earn more than £50K;
  • people that earn over £100K.

Notices would have been sent by HMRC April 2015 for you to complete a tax return, although if you didn’t inform them of any new income, then they won’t have known to issue you a return – catch 22 situation.

The paper return should have been in to HMRC by the 31st October, but the online version has a deadline of 31st January. The good thing about the online version is that it automatically calculates the amount of money you owe, or indeed are owed. There are help markers and worksheets for any questions, plus HMRC are rolling out an online chat service if you hoover on the page long enough. If you miss the 31st January deadline, then late penalties kick in on the 1st February, and delay too long and you could face penalties of up to £1,600.

Of course you need to be registered with HMRC in order to deliver an online tax return. If you have not done so, then you can find out how to do it  >>> here  <<< . Beware, this is the first stage of the process, as HMRC send you an activation code in the post which you need to allow 10 working days to receive it.

Already Registered?

Should you already be registered for taxes and have a unique tax reference number (UTR), then it’s just a case of pulling all the data together and completing the form. Often this is where the fear kicks in that you may “do something wrong”. However, help is at hand and it’s not too late to ask for help.

We’ve managed to add some more capacity for January, so if you have your UTR and your bookkeeping records and need to get your return submitted on time, then contact us before the 18th January and we can probably do it for you. Should you need your bookkeeping done as well, then we need it all before the 14th January.

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A word of warning: You need to ensure you have given yourself and your accountant enough time to gather all the information required for your tax return and complete the return appropriately, plus the review and submission. We do as much as we can electronically and have checklists in place to help gather information so scream if you need them when coming on board.

 

 

 

*this is not a complete list but just an example

 

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