Personal finance expert urges people to check their Self-Assessment tax return has been submitted before the deadline on January 31, 2024, to avoid a £100 penalty fee.

Are you one of the estimated 12 million people in the UK due to submit a Self-Assessment tax return before the online deadline?

Did you know that if you submit your return after the deadline you could be charged a penalty starting from £100?

The deadline for paper returns - October 31, 2023 - has now passed, meaning the only way to submit your return is online.

Dan Whittaker, a personal finance expert at vivamoney.co.uk, has shared information on Self-Assessment tax returns, who should submit one and when, and how to avoid late penalties.

“A Self-Assessment tax return is used by HM Revenue & Customs (HMRC) to work out the amount of income tax you will pay. You must complete and submit the relevant information on either an online or paper form, which will enable HMRC to calculate what you owe.”

“You will need to send a tax return if any of the following applied to you between April 6, 2022, and April 5, 2023:

· You were a partner in a business partnership.

· Your total taxable income was more than £100,000.

· You paid the High Income Child Benefit Charge; and/or

· You were self-employed as a sole trader and earned more than £1,000 before any tax relief deductions.

“It’s possible that you may have to send a tax return if you have been in receipt of any untaxed income. This could include:

· Tips and commission.

· Income from savings, dividends, and investments.

· Money from renting out a property.

· Foreign income; and/or

· Certain Covid-19 grant and support payments.

“If you’re still unsure as to whether you need to fill out a tax return, you can check on the Gov.uk Website.”

“You can submit a tax return using a paper or online form,” Dan says. “The deadline for paper returns was midnight on October 31, 2023. Online returns must be submitted by midnight on January 31, 2024. You must also pay any outstanding tax by midnight on January 31, 2024.”

Dan adds, “It’s important to remember and work to the deadline of January 31, 2024, as late payments usually result in penalties. In the past, a deadline extension was granted for late returns; however, this is not the case for the 2022-2023 tax year.

“If your return is up to 3 months late, an initial £100 penalty will be charged. You will incur a higher penalty if your return is submitted later than 3 months after the deadline, and you will also be charged interest on late payments.

“Some exceptions may permit you to appeal against a penalty, including delays that relate to an existing disability or mental illness, or online service issues with HMRC. You can visit the Gov website for a full list of reasonable excuses.

“You can also estimate your penalty for late Self-Assessment tax returns.”

“You can fill out and send your Self-Assessment tax return online. The deadline for paper copies has now passed, but for future tax years, you can request a hardcopy SA100 form by calling HMRC.”

-ENDS-

Viva Money is not a lender but is a fully regulated and authorised credit broker. Viva Money is a registered Trading Name of Digitonomy Limited, Registered in England and Wales (Company number 08385135), Registered Office; Steam Mill Business Centre, Steam Mill Street, Chester, Cheshire, CH3 5AN. Digitonomy Limited is authorised and regulated by the Financial Conduct Authority and is entered on the Financial Services Register under reference number: 690249. Licenced by the Information Commissioners Office, (registration number ZA007309)      

  

Website: https://vivamoney.co.uk/

  
Dan Whittaker - Personal Finance Expert at Viva Money   

  

Dan has worked in the consumer finance sector for over a decade in a number of roles, including developing and maintaining commercial partnerships, marketing, and digital development.   

   

Dan has strong market and product knowledge across a range of consumer finance products including, but not limited to, credit cards, savings, loans, and mortgages.