It is 1st December which means Christmas is just over three weeks away, and it is now less than two months until the online filing deadline for 14/15 tax returns….
With dates in mind, this week in the 5th installment of our weekly Tax Return Tuesday blog we focus on the key tax dates you should be aware of….
Tax Year Period
The tax year runs from 6 April to 5 April. For 14/15 returns the period you need to report on is 6th April 2014 until 5th April 2015.
- Midnight on 31st October – deadline for submission of paper tax return
- Midnight on 31st January- deadline for the online submission of online tax return
- 30th December – deadline for filing tax return if you want HMRC to collect any tax owed through your tax code rather than having to make a separate payment.
- Midnight on 31st January – Payment of any tax owed for the past tax year and 1st payment on account (if applicable) for the current tax year
- 31st July – Second payment on account
See our related blog post for more information on payments on account
Late filing penalties
- 1 day late – Even if you are only 1 day late submitting your tax return HMRC will apply an immediate penalty of £100. This applies even if you have no tax to pay/ have already paid any tax owed.
- 3 months late – HMRC will apply a charge of £10 per day, up to a 90 maximum of £900. This is in addition to the immediate £100 late fee.
- 6 months late - £300 or 5% of the tax due (whichever is higher) in addition to the previous late fees quoted above.
- 12 months late - £300 or 5% of the tax due (whichever is higher). In serious cases HMRC may apply a ‘behavioral penalty’ for tax returns which are over 12 months late which could be up to 70% of the tax due.
Even if you feel that you do not need to complete a tax return or you don’t owe any tax, if you have received a notification from HMRC to file you must complete and submit a return by the 31 January deadline. This applies even if you are an employee and all your income is taxed through PAYE.
If you ignore the notification you will be fined and as shown above, the penalties are hefty!
For more general information on tax returns and the filing process check out our 5 minute tax return guide.
To get started with your 14/15 tax return contact us today. Remember we offer fixed rate fees and your first meeting with us is free!