HMRC have announced a 28 day extension to the personal tax return deadline for filing. This is in respect of the tax year to 5th April 2020. So if you haven’t filed yet, and there are many who haven’t, then you have more time to do that.
BUT the tax you owe is still due on 31st January – Sunday. So if you do not complete your tax return now, how are you going to know what tax to pay? We recommend all efforts are made to complete personal tax returns this week and payment of the tax made. If you then wish to take your time filing the tax return then OK. For all our clients once we have completed the tax return it is a simple operation to submit, so we will just be waiting for your authority to do so.
If you are so far behind and completing by 31st January is not an option then you need to know:
File by 28.2.2021 to avoid late filing penalties, later than that and a £100 penalty applies and may increase.
Any tax due but not paid by 31.1.2021 will attract interest at 2.6 % pa
Any tax still not paid by 28.2.201 attracts a surcharge of 5% in addition to the continuing interest charge, and a further 5% surcharge is added if you are more than 6 months late.
If you are not an existing client and you need help with your tax return our teams will be ready to help you in February.
Don’t forget CGT returns on residential property sales are also due on a new separate tax return and within 30 days of completion of the sale. With the tax payable also within 30 days of the sale completion date.
I fully expect the government website will be busy as usual with several million filing their tax returns by Sunday.
If you would like assistance with the filing of you tax return in February, or require tax advice please contact us.