HMRC is calling for all taxpayers to stop delaying and get their tax return wrapped up before the 31 January 2023 deadline.
As Christmas draws near, HMRC is encouraging Self Assessment customers to make their tax return a priority on their to-do list. Last year, an impressive 2,800 people chose to submit their tax return on Christmas Day - but if you get your 2021-2022 return done before the holiday season, you can relax and enjoy the festivities and beat the end of January rush!
If you're an early-bird and manage to get your return in before 30 December, you can even opt to pay any tax owed through your PAYE tax code. If you owe money, why not explore the payment options available. To make installments make sure your bank account details are included when setting up your plan... Ho, ho, ho!.
The speediest way to finish your tax return is online through your Personal Tax Account. You can begin your return and come back to it as many times as you want before sending it off. 'Tis the season to get your taxes done!
HMRC is ready to help If you're struggling to pay your tax bill in full, you can access support and advice on GOV.UK. They may be able to assist by setting up an 'affordable payment plan', otherwise known as 'Time to Pay'. 'Tis wise to try to make the arrangement online, so head to GOV.UK for more details! If you'd rather give them a 'jingle', you can call the helpline too.
HMRC is feeling festive this season so those with genuine excuses won't have to worry about a lump of coal in their stocking!. They're focusing their attention on those who repeatedly haven't sent in their tax returns and those who are trying to dodge their obligations, giving those with a reasonable excuse a chance to avoid a penalty. Let HMRC know if you have mitigating circumstances preventing completing your tax return before the 31st of January and you'll be singing Christmas carols... because you could avoid fines and penalties.
The penalties for late tax returns are:
- an initial £100 'gift' to HMRC, which applies even if you have been a 'good person' and paid your taxes on time.
- after 3 months, 'daily stocking emptiers' of £10 per day, up to a maximum of £900.
- after 6 months, a further 'not so Christmas bonus' of 5% of the tax due or £300, whichever is greater.
- after 12 months, another 'not so festive' 5% or a £300 charge, whichever is greater.
Paying late can be costly and it's a 'snow' joke when you face extra charges! The HMRC 'Grinch' will also levy surcharges on your tax bill of 5% of the tax unpaid at 30 days, 6 months and 12 months.
It's the most wonderful time of the year, and the government is getting in the festive spirit! Make sure to check helpforhouseholds.campaign.gov.uk to find out what cost of living support you could be eligible for - from cost of living payments to energy bill and childcare cost support.