30th September Deadline
As of the 30th September the first deadline relevant to the Self Assessment regime for filing individual Tax Returns expired. But what effectively does this mean and what can be done about it?
Firstly it should be noted that there is no financial penalty for missing this deadline. There are, however, two implications:
Firstly, H.M. Revenue & Customs (HMRC) will not extend the facility to have underpayments of tax, being less than £2,000 in value, collected through the following years coding notices. Instead the tax will be demanded in one payment on 31st January 2008 (for 2007 Tax Returns).
Secondly, HMRC will not undertake to calculate tax due on your behalf. In practice what will happen is that, in the case of a repayment, it will not be issued for several months. In the case of tax due, HMRC may not have calculated the liability by the due date of payment, which is 31st January 2008, leaving the taxpayer with a bill for interest and possibly surcharges of 5%.
It is however worth checking the date on which your Tax Return was issued as if this was after 1st August the filing deadline is two months from the date of issue, This thereby preserves the advantages mentioned above until that later filing date.
For those who miss the 31st January 2008 deadline a £100 fixed penalty awaits so there is no time to delay.
If you have missed the 30th September deadline, and wish to obtain professional advice for your own peace of mind, why not come and speak to us as in many cases we may be able to resolve your problems.
Please contact either Mark Busby at mark.busby@dbsellek.co.uk or Dean Hardy at dean.hardy@dbsellek.co.uk. Alternatively you can phone the office to speak to either on 01344 620495.
Firstly it should be noted that there is no financial penalty for missing this deadline. There are, however, two implications:
Firstly, H.M. Revenue & Customs (HMRC) will not extend the facility to have underpayments of tax, being less than £2,000 in value, collected through the following years coding notices. Instead the tax will be demanded in one payment on 31st January 2008 (for 2007 Tax Returns).
Secondly, HMRC will not undertake to calculate tax due on your behalf. In practice what will happen is that, in the case of a repayment, it will not be issued for several months. In the case of tax due, HMRC may not have calculated the liability by the due date of payment, which is 31st January 2008, leaving the taxpayer with a bill for interest and possibly surcharges of 5%.
It is however worth checking the date on which your Tax Return was issued as if this was after 1st August the filing deadline is two months from the date of issue, This thereby preserves the advantages mentioned above until that later filing date.
For those who miss the 31st January 2008 deadline a £100 fixed penalty awaits so there is no time to delay.
If you have missed the 30th September deadline, and wish to obtain professional advice for your own peace of mind, why not come and speak to us as in many cases we may be able to resolve your problems.
Please contact either Mark Busby at mark.busby@dbsellek.co.uk or Dean Hardy at dean.hardy@dbsellek.co.uk. Alternatively you can phone the office to speak to either on 01344 620495.
Labels: Written by Mark Busby
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