Self Assessment Tax Returns Deadline: 31st January 2021
If you are self employed, you must know the deadline to complete online Self Assessment tax returns for 2019 to 2020 is 31 January 2021. Paper returns must be sent to HMRC by 31 October 2020. If you are completing a tax return for the first time, you will need to register for Self Assessment to file your tax returns.
HM Revenue and Customs (HMRC) must receive your tax return and any money you owe by the deadline for the last tax year started on 6 April 2019 and ended on 5 April 2020 to avoid penalties.
According to the Guardian, several million people still haven’t filed their tax return. With just over four weeks to go until the 31 January self-assessment deadline, this could be the weekend to get it out of the way!
Meanwhile, if you are one of the millions who were told by their employer not to come into the office, don’t forget that you can claim tax relief worth up to £125 a year for working from home.
Each year about 11 million people have to complete a self-assessment tax return in the UK. Looking at recent years, there were still 5.4 million taxpayers who hadn’t filed by 31 December 2019, and 5.5 million who were yet to file by 31 December 2018.
For most people, the coronavirus is no excuse for not doing it, though HM Revenue & Customs has said it is “determined to help customers during this difficult time”.
So who needs to do self assessment tax returns?
Broadly, it’s if any of these apply:
• you are a self-employed sole trader whose annual turnover is more than £1,000;
• you earned more than £2,500 renting out property;
• you, or your partner, received child benefit and either of you had an annual income of more than £50,000;
• you received more than £2,500 in other untaxed income, for example from tips or commission, or are an employee claiming expenses totalling more than £2,500;
• you earn more than £100,000 a year; or you earned income from abroad that you need to pay tax on.
HMRC says it is aware that many people will have been adversely affected by the pandemic, and may, for example, need help to spread the cost of their tax bill. Once an individual has done their 2019-20 return, and knows their tax calculation, they can set up a payment plan, provided they owe less than £30,000. They can then choose how much to pay straight away and how much to pay each month by direct debit, and it can all be done online. Needless to say, you’ll have to pay interest.
Therefore, it is best to find help and submit your self assessment tax returns before the deadline 31st Jan 2021.
At Pro-taxman, we have tax advisors who can help you with your self assessment tax returns. We don’t just do your personal self-assessment tax returns; our qualified accountants will provide you the necessary advice and guidance on how to minimise your tax liability. We believe in providing a value-add service, not just number crunching. We make sure that our clients stay on top of their taxes and financial situations so that they can make well-informed business and investment decisions.
At Pro-taxman, we offer expertise and knowledge like no other firm can. Our dedication to customer service has seen us earn a reputation as one of the most reliable accountants in Hounslow, growing our name organically via word-of-mouth advertising and referrals. We are frequently commended for our exceptional customer satisfaction ratings, ensuring that the needs of our customers are met fully.
Need self assessment tax returns or any tax advice? Contact us to book a 15-min Free Consultation with us today.