Beat the 31st January deadline for filing your self-assessment tax return with our 5 top tips.
Samantha Newport, director at Modus Accountants, offers five top tips to help small businesses beat the 31 January deadline and avoid any nasty penalties.
Millions of small business owners across the UK have to file an online self-assessment tax return each year, and many will still need to complete it.
Here are my 5 top tips:
1.Register with HMRC immediately
If you haven’t already registered with HMRC then you need to register immediately, as they will provide you with an activation PIN and your Unique Tax Reference (UTR) which you will need to submit your online application. These details are only provided by post and usually take around a week to arrive, so the sooner you register the better!
2.Include all of your income streams
When submitting your income details don’t forget to include every last bit of income, this includes salary income shown on your P60, your P11D if you have been given one which will show any benefits or expenses you’ve received. Any interest you have accrued on your business bank accounts also need to be included, with the exception of ISAs which are tax-free. If you’re a sole trader, or in partnership, you’ll need to know your business’s income and expenses. If you have shares either in your own company or any other and have received a divided income then this will also need to be included.
3.Stick to the rules
Business tax can be complex and has many rules and regulations that you have to be aware of and adhere to. Read up on the rules by visiting the HMRC website or get in touch with Modus Accountants to see how we can help you. Business expenses can be quite tricky so you need to know what you can and can’t claim, the HMRC website can help you check them.
4.Check your information thoroughly
Try to leave plenty of time when completing your return to thoroughly check the information you are providing and to make sure you haven’t forgotten to answer any of the questions. Check your answers before you submit your return otherwise you run the risk of making an error, having your tax return rejected and potentially receiving a late submission penalty.
5.Don’t rush or panic about the deadline
If the worst happens and you are late at submitting your return then HMRC will only fine you £100, however don’t delay unnecessarily otherwise more penalties at a higher cost could come your way along with additional charges and interest to pay on your final tax bill if it’s paid late.
If you need help with submitting your tax return then don’t hesitate in contacting me on 01993 225030 or by emailing hello@modus-accountants.co.uk.