How many companies, sole traders and self-employed people prioritise on their tax returns? As December is knocking at our doors, we have just over two months left to fill in the forms for 2017-2018.
Many choose to wait until after Christmas to finalise their tax returns. As HMRC reports for the previous year show, nearly half (44.8%) of all people and businesses did so in January 2018. Also, 93% of them completed the online forms.
Don’t leave it for the deadline day
Encouragingly, these numbers show business and people use the digital systems meant to make their life easier. However, over 750,000 did so on the deadline day. About the same number failed to meet the deadline. While it seems like a quieter month to dedicate to such tasks, leaving it to the last minute can lead to unwanted complications.
In the reminder published on HMRC news section, Angela MacDonald, the Director General for Customer Services, said:
“We want to help people get their tax returns right – starting the process early and giving yourself time to gather all the information you need will help avoid the last minute, stressful rush to complete it on time. Let’s beat that niggle.”
What can go wrong with your tax return
What might cause difficulties with your tax return though?
You could realise you need one piece of paperwork, an invoice, or payments forms which you cannot find. And this might be out of your hands, as either your partners or customers have created the delay. The sooner you chase up on any such mistakes, the easier it becomes to fix them.
Also, making sure you pay any tax due by the 31st of January 2019 should make Christmas holiday less stressful. Of course, you might already be using the services of a professional finance practice. In this case, they will need you to provide them with all the paperwork in time, again, to avoid any surprises and unnecessary risks.