UK: Self-Assessment Customers to put their tax returns at the top of their to-do list in the run-up to Christmas.
HM Revenue and Customs is encouraging Self Assessment customers to put their tax returns at the top of their to-do list.
Last year more than 2,800 customers chose to file their tax returns on Christmas Day.
But those who get their 2021 to 2022 Self Assessment wrapped up before Christmas can tick it off and enjoy the festivities.
Customers need to complete their tax return and pay any tax owed by the 31 January 2023 deadline or risk having to pay a penalty.
Those who file their return before 30 December may also have the option of paying any tax owed through their PAYE tax code.
Filing early means if customers owe money, they have time to explore which of the payment options available is best for them by visiting GOV.UK.
Customers should include their bank account details so that if HMRC needs to repay them it can be done quickly and securely.
The easiest way to complete a tax return is online through a Personal Tax Account.
Customers can start their return and go back to it as many times as they need before submitting it.
Customers can now use the free and secure HMRC app to get their Unique Taxpayer Reference, and make Self Assessment payments.
Those who are unable to pay their tax bill in full can access support and advice on GOV.UK.
HMRC may be able to help by arranging an affordable payment plan, known as Time to Pay.
Customers who provide HMRC with a reasonable excuse before the 31 January deadline can avoid a penalty after this date.
The penalties for late tax returns are:
- an initial £100 fixed penalty, which applies even if there is no tax to pay, or if the tax due is paid on time
- after 3 months, additional daily penalties of £10 per day, up to a maximum of £900
- after 6 months, a further penalty of 5% of the tax due or £300, whichever is greater
- after 12 months, another 5% or £300 charge, whichever is greater
There are also additional penalties for paying late of 5% of the tax unpaid at 30 days, 6 months and 12 months.
Customers who no longer need to complete a Self Assessment tax return need to let it known otherwise they might be subjects to a penalty.
The government is offering help for households. Check GOV.UK to find out what cost of living support you could be eligible for.