When should I complete my Self Assessment?

blogsWhen should I complete my Self Assessment?
November 17 , 2014 / Posted by admin / blogs / No Comments

When should I complete my Self Assessment?

The deadline to file self assessment is 31st January every year for the previous tax year that runs from 6th April to 5th April.

Why should I file early?

There are a few advantages to filing your Self Assessment as early as you can. From a financial planning point of view you will know how much tax you owe earlier, allowing you to budget effectively. The deadline for paying owed tax is also January 31st, so having some time to plan for this expense is obviously preferable to submitting your Self Assessment on the deadline, finding you owe thousands and having to pay it out of pocket (or worse still, not being able to pay and incurring fines and penalties!).

On the flip side, if you have over-paid tax submitting your Self Assessment early means you will be at the front of the line when HMRC starts issuing refunds.

Completing your Self Assessment online

Filing Self Assessment

If you’ve never filed a Self Assessment online before, you will need to create an account with HMRC Online Services. To register you will need your Unique Taxpayer Reference number and either your postcode or your National Insurance Number. Once registered, HMRC will send you an Activation Code. This will be sent in the post to your home address. You must use this code to activate your Online Services account within 28 days, or you’ll have to request another one. You can even forward us the activation code so that we can activate the service for you.
Once you’ve activated your Online Services account you will have a User ID and password, you can use these to log in to HMRC Online Services and away you go!

If you want to see what you’re getting yourself into, HMRC have an online demonstration of their Self Assessment system.

I have filed the self assessment before

If you’ve filed your Self Assessment online previously, you’ll already have a User ID and password for HMRC Online Service – you can use this to log in and get started.
Please find below the link to HMRC tutorial

 

What happens if I miss the filing deadline?

If you miss the deadline you will be hit with £100 fine. After this initial penalty you will have three months to get your act together and file your Self Assessment.
Should three months pass and you have still not filed, HMRC will begin to fine you £10 per day for up to 90 days. If those 90 days elapse and you’ve still not filed, you’re in line for an additional fine of £300 or 5% of the tax you owe – whichever is greater. This same fine will be applied after twelve months, too.
So if a year should go by and HMRC have yet to receive your Self Assessment, you will have accrued a minimum of £1,600 in fines.
HMRC also have additional powers to punish those they believe are intentionally withholding information from them or attempting to conceal their true tax liabilities, including a fine of up to 100% of their tax liabilities in addition to the penalties above.
So the best idea would beto no delay the filing of self assessment.
If you have missed a deadline don’t worry as we can help you submitting your self assessment within no time and avoid extra penalties.

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