Less than one month remaining to submit Self Assessment tax return, businesses warned

Small business owners, directors, and landlords have less than one month remaining to file their Self Assessment tax return, it has been warned.

The deadline to submit your tax return for the 2020 to 2021 tax year is 31 January 2022.

According to the latest statistics, nearly 11 million taxpayers who have generated untaxed income – such as from an unincorporated business, renting out a property, tips and commission, savings, investments and dividends, or foreign income – are required to complete a tax return this year.

Failure to submit a tax return on time will incur an automatic £100 penalty fine.

If your business has been impacted negatively by the coronavirus pandemic in the 2020 to 2021 tax year, you may be able to arrange an affordable ‘Time to Pay’ payment plan without speaking directly to HM Revenue & Customs (HMRC).

You can do so by visiting the self-serve Time to Pay facility, providing you have filed your 2020 to 2021 tax return, owe less than £30,000, are within 60 days of the payment deadline, and plan to pay your debt off within the next 12 months or less.

Commenting on the deadline, Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “Filling in a tax return won’t have been on many people’s to-do lists for Christmas, but please don’t leave it until the end of January either.

“We have videos, guidance and helpsheets to support you – just search ‘Self Assessment’ on GOV.UK to find out more.”

HMRC recently revealed that 2,828 customers filed their Self Assessment tax return on Christmas Day, while more than 31,000 customers submitted their 2020 to 2021 tax return between Christmas Eve and Boxing Day.

For help and advice with related matters, please get in touch with our team today.