The deadline for completing your paper tax return has passed, but there is still time to submit your tax return online and avoid a penalty.

The deadline for filing your tax return for the year ended 5 April 2022 online is 31 January 2023.  This has been extended for the last two years due to the Covid pandemic but we would not expect such an extension this year.

Returns not filed by the due date will result in an automatic £100 penalty. Where the return has still not been submitted after three months, daily penalties of £10 will accrue, continuing for a maximum of 90 days. Further penalties will be payable for prolonged filing failures.

Payments for both paper and online tax returns following the end of the tax year must be received by HMRC by 31 January 2023. There are a few exceptions to this deadline, for example those who have been sent a letter by HMRC to complete a return after 31 October, but these exceptions are rare. 31 January may also be the date you make your first payment on account towards your tax bill for the next year.

Is a tax return required?

In the majority of cases, where your only income is from employment or pensions, a tax return is not required however a return will be needed where you have sources of untaxed income, such as self employment, partnership or rental income. Those with significant investment income will also be required to complete a tax return.

In addition, often overlooked is the requirement to prepare a tax return where you or your partner receive Child Benefit and your income is above £50,000, leading to a High Income Child Benefit Charge.

The above is not an exhaustive list of the circumstances where a tax return would become due and it is important to note that if a tax return has been issued by H M Revenue & Customs, action will be required before 31 January 2023.

We would be happy to discuss your situation and assist in the preparation of your tax return if required, as well as providing advice on tax liabilities and payments needed, along with ways in which your liabilities may be mitigated.

The deadline for completing your paper tax return has passed, but there is still time to submit your tax return online and avoid a penalty.

The deadline for filing your tax return for the year ended 5 April 2022 online is 31 January 2023.  This has been extended for the last two years due to the Covid pandemic but we would not expect such an extension this year.

Returns not filed by the due date will result in an automatic £100 penalty. Where the return has still not been submitted after three months, daily penalties of £10 will accrue, continuing for a maximum of 90 days. Further penalties will be payable for prolonged filing failures.

Payments for both paper and online tax returns following the end of the tax year must be received by HMRC by 31 January 2023. There are a few exceptions to this deadline, for example those who have been sent a letter by HMRC to complete a return after 31 October, but these exceptions are rare. 31 January may also be the date you make your first payment on account towards your tax bill for the next year.

Is a tax return required?

In the majority of cases, where your only income is from employment or pensions, a tax return is not required however a return will be needed where you have sources of untaxed income, such as self employment, partnership or rental income. Those with significant investment income will also be required to complete a tax return.

In addition, often overlooked is the requirement to prepare a tax return where you or your partner receive Child Benefit and your income is above £50,000, leading to a High Income Child Benefit Charge.

The above is not an exhaustive list of the circumstances where a tax return would become due and it is important to note that if a tax return has been issued by H M Revenue & Customs, action will be required before 31 January 2023.

We would be happy to discuss your situation and assist in the preparation of your tax return if required, as well as providing advice on tax liabilities and payments needed, along with ways in which your liabilities may be mitigated.