B20 Wessex, Winter 2020 Client Newsletter
3 months ago
Making a Late Payment or submitting your tax return late can be costly
Leave the worry and stress of completing your tax return to a qualified accountant, and you’ll also maximise your tax savings.
You’ll typically need to complete a self-assessment tax return if:
There are many other reasons why you may need to complete a tax return, but usually this will be picked up by HMRC, who will write to you alerting you of the fact.
If your tax affairs are relatively straightforward, and you already pay your tax through PAYE, its likelyyou won’t have to complete a tax return.
You can either complete your tax return by paper (post) or online. Paper tax returns must reach HMRC by midnight on 31 October.
If you decide to complete your tax return online, it must reach the HMRC no later than midnight on 31 January. Any tax owed must also be paid at this time and there are few exceptions to these dates.
If you file your return late you will be charged £100 on the first day, and then a penalty of £10 per day after three months.
If after six months you have still not filed your return, further penalties will be incurredwith a maximum penalty of up to £1,300.
If it’s 12 months late, there is another final penalty and together these could add up to £1,600 or more. Penalties if you make a mistake
Mistakes happen sometimes, but by appointing a qualified accountant significantly minimises this risk. There are penalties for getting your tax return wrong, and HMRC can argue that you haven’t taken reasonable care. The penalty can be up to 30% of your unpaid tax. Deliberately concealing a liability can carry a penalty of up to 100%.
Details of penalties can be found at the HMRC website.
Appointing an accountant to complete your tax return will also help maximise your tax savings. An experienced accountant can advise you of what you can claim, which invariably includes items which would be overlooked if you completed the return yourself. Appointing an expert normally saves you more money in the long term.
B20 Wessex are Chartered Certified Accountants with years of experience in advising clients on how to maximise their tax savings. We are a family run firm serving Wiltshire and surrounding counties, and can travel to your home or business premises to provide you with the best advice possible.
Once you have provided us with all of your information, we will complete your tax return accurately and on time. You can remain focused on your business knowing you don’t have to pay any penalties, and that you are paying the minimum amount of tax possible.
The B20 Wessex Spring Budget Briefing is available for download.
11 months ago