31st January Self-Assessment Deadline – What UK Taxpayers Should Know

A new year is about to begin and with the same, there is another chance to set new goals and develop good habits. However, for UK taxpayers, the end of the year means it is time to file their self-assessment tax returns before the scheduled deadline of January 31st.

After all, not even your last wish will be to start a new year with the stress of encountering multiple queries from the HMRC, or late fines. So, read this blog and know the things that you should be aware of to ensure a smooth filing experience.

Gather Essential Information Early

If you have not started yet, be fast to collect all your necessary documents, such as invoices, receipts, pay slips, bank statements, documents related to business-related travel expenses, and investments (if any). If you start this task early, you will not have to scramble for your documents at the last minute.

Make Use of HMRC Tools

If you’re filing for the first time, ensure you’re registered for the HMRC online service. Registration can take up to 10 working days, so if you haven’t registered, act immediately. You can use HMRC’s online calculator to estimate your tax liability in advance. There are also some videos of HMRC Self-Assessment on YouTube that you can watch to ensure compliance.

Leverage an Accounting Software

Nowadays, the market is flooded with accounting software platforms that seamlessly integrate with HMRC systems, such as Sage Accounting, Intuit QuickBooks Online, and so on. So, use such software as they can significantly help you in your submission process. Also, consider automating certain tasks, so that you can reduce any chances of human error.

Work with a Professional

Accountants and tax advisors can be invaluable, especially if your finances are complex. So, hire an experienced professional and ensure accuracy by reducing any possible risk of mistakes. A professional may also help you in tax saving by his valuable insights.

Check Your Submission Again

Do not forget to review your tax return for any errors or omissions. Ensure that all your fields are correctly filled and expense claims are as per the HMRC guidelines. The income declared by you must be matching your records. Also, if you owe tax, ensure that payment is made by January 31. You can do this either by direct debit or bank transfer or by using HMRC’s Time to Pay service.

Sometimes, deadlines are missed due to unavoidable circumstances, despite your best efforts. So, if you end up missing your January 31 deadline, file your return immediately and minimize your penalties. Also, if you have delayed or missed your deadline because of a valid reason, contact HMRC and request a penalty appeal.

Remember that the self-assessment deadline is important for all UK taxpayers. By taking steps like organizing your documents, leveraging technology, and seeking help from an experienced UK accountant, you can make the process of self-assessment tax return easy.

As the deadline is approaching, prioritize your tax filing to start the year on a positive financial note and make January 31 a date of accomplishment for yourself.