The new deadline for filing self-assessment returns in the UK is Feb 28.
In a major relief to filers, HM Revenue & Customs extended the self-assessment deadline by a month to February 28. However, filers were still asked to pay their taxes by January 31.
Filers have termed the extension as a welcome and major relief. Still, if you had not got rid of your tax liability by January 31, HMRC will slap a fine on you in the shape of monetary penalties.
HMRC has extended the deadline owing to the unignorable impact of Covid-19 on businesses and daily lives. Citing it as a reasonable excuse, HMRC has extended the deadline for filers while stating that fines for late-filing have been cancelled for a month.
Read Also: HMRC warns self-assessment customers about rising scamming activities
It is pertinent here to mention that HMRC slaps a fine of £100 ($137) over late-filing.
Several people have taken advantage of a one-month extension and made tax payments through ‘Payment on Account’ to the revenue body. In such cases, if you have overpaid the tax, you can reclaim the difference and HMRC will return this amount. In case of underpayment, HMRC will still charge you the interest fee, however, it will be relatively smaller than if you had paid nothing.
For some it may not be possible to make any such payment at this time, in which case a payment plan must be arranged with HMRC no more than 60 days after the due date of the debt, if not a 5{f5c46dbfd7a370437117a81398f3ac99c38e148024d17c03e20eb6cfc854a7af} surcharge will be applied.
If a payment plan is arranged, interest will be charged on the amount.
Top tips for doing your taxes
Keep all the information you need to hand in one place. Whether it is your spreadsheet of invoices, UTR number, P60 or P45 forms, or your National Insurance number, doing your taxes is so much easier when you don’t have to spend half the time raking through drawers and filing cabinets for that invoice.
Don’t leave it to the last minute. Doing your taxes can be stressful enough without feeling rushed or under pressure so be sure to get ahead – you’ll thank yourself when it’s done.
Get help when you need it. If you need assistance have a look on the Gov.uk website or the TaxAid website, or if you have the means, get an accountant to check things over and deal with the paperwork for you.
Don’t forget about your expenses. If you are self-employed you can claim expenses like travel, office supplies, energy bills, and other things you need to be able to work.
