With only 2 days left to file your tax return online, HMRC has recently reported that more than 3.5 million customers still need to submit their tax return. Tax payers are being urged to complete their self assessment tax return online ahead of the deadline and pay any tax due for the 2017 to 2018 tax year.
The deadline to complete a 2017 to 2018 tax return online is 11.59pm this Thursday. Last year, over 10.7 million tax payers (93% of customers) submitted their self assessment before the 31st January 2018 deadline.
There were quite a few tax payers who risked being late, with 30,348 completing their returns between 11pm to 11:59pm on 31st January 2018.
What happens if you don’t file on time?
Don’t assume that because you don’t have any tax to pay, you do not need to file a tax return. Even if you do not owe any tax, a tax return still needs to be submitted or you face a £100 penalty. The longer the delay, the more penalties will apply.
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
Angela MacDonald, HMRC Director General of Customer Services, said:
“We are encouraging all Self Assessment filers to complete their returns by 31 January and support is available every step of the way. Taxpayers can make use of HMRC’s online services, webinars and videos, the customer service helpline, webchat or our social media channels. We are on-hand to offer support and advice to help you complete your tax return.”
If you need any advice on tax planning, our expert tax team will be happy to help. Call us on 01244 400315 or email [email protected].