If you are one of the many who subscribe to the philosophy, ‘why do today what I can easily continue to ignore tomorrow’ – this is for you! Last year’s figures from HMRC are proof that literally thousands of us are total ‘last-minuters’ – almost 890,000 taxpayers ended up missing the self-assessment tax return filing deadline completely.
Here at Tax Rebate Services we see lot’s of people leave it pretty late in the day – I don’t know why we do it to ourselves! What on earth makes us wait with that ever-present niggling, silently looming in the background? Whatever the reason, it’s time for you deadline junkies to save yourselves the self-assessment stress (and fines!) and just get it over with – yes, now!
How HMRC punish lateness – aka ‘The Stick’
HMRC has a variety of differently sized ‘sticks’ with which to punish you if you miss the self-assessment deadline. The littlest one is £100, for being a day late. They continue to grow in size the longer you take to submit your tax return and pay your tax bill. You may even end up accumulating interest to pay on any debt.
Once HMRC think you may be deliberately avoiding them and their pesky tax laws, the biggest of sticks comes out – a veritable branch of a thing! You do not want to trigger accusations, audits or investigations of any kind – so don’t leave yourself open to question.
HMRC is not your friend; you can’t just send them an ‘it’s on its way’ text and hope the situation is sorted. Avoid all this negativity by simply starting your self-assessment tax return process today.
Get a quicker tax refund – aka ‘The Carrot’
A much more interesting prospect! If you think that you are owed some tax relief from the Tax Office, then it’s worth bearing in mind that the quicker you file your tax return, the quicker you get your money back. Imagine the avalanche of applications HMRC’s staff are faced with around January 31st. It just makes sense to get yourself in there before the mad rush!
The big three
Aside from simply avoiding fines and stress headaches, these are the three best reasons for not leaving your self-assessment tax return to the last minute:
- Getting help – HMRC helplines are there to answer all your tax questions, but the longer you leave it, the higher the volume of other callers and the lower your chances are of getting timely information.
Your accountant or tax adviser will also become increasingly busy towards the deadline and you run the risk of them not being able to squeeze you in at all. Remember, you also may need help registering or enquiring about you UTR number, which can require a few weeks.
- Organising paperwork – This starts with actually finding all the relevant documents to substantiate your tax return. It is a universal truth that the less time you have left to search, the more elusive the crucial piece of paper becomes.
- Avoiding the unexpected – A tax-related ‘surprise’ is rarely the good kind – nobody wants a bill they haven’t budgeted for. If you prepare and file early, you keep control of your financial situation and have broader options when it comes to dealing with any little shocks. For example, it is possible to have your tax bill paid automatically, if you are on PAYE and have enough time to set this up.
Ignorance is not considered a ‘reasonable excuse’
There are a variety of situations that require taxpayers to complete a self-assessment tax return and HMRC will not accept “I didn’t know” as a reasonable excuse. Even retirees and taxpayers on PAYE sometimes need to complete a tax return. If you are genuinely not sure, now is the time to get in touch and we’ll help sort out your tax position. If you do have late penalties and a reasonable excuse our late penalties appeal service can help you.
You are not alone
Instead of waiting for the adrenelin to kick in and force you into action in January, you can maintain a steady heart rate and start the ball rolling early. To make a start, get in touch and we will go through the whole self-assessment tax return process with you. To you this means spending less time on paperwork, total accuracy and far less stress. We ensure you are fully tax compliant pay and receive your maximum tax relief.
Filing your Self-Assessment Tax Return is just another one of those things that must be done. But prioritising it on this month’s ‘To Do’ list can avoid the worst consequences and put your money back where it belongs more quickly. Just think how much you can enjoy wallowing in the smugness of the virtuous, when you are all done and dusted well before the year’s end!
