WHY GET IT DONE EARLY? 

 

1. Avoid late filing penalties. 

 

2. You’ll know earlier how much tax you need to pay, so you can budget now and plan for the tax payment at the end of January, rather than incur avoidable late payment interest and charges. 

 

3. If you’re due to get a refund, the sooner you get it done, the sooner you get your refund! 

 

4. If you’re looking to get a mortgage soon, the lenders will want your latest tax return, so get it done now and don’t hold up the house purchase. 

 

5. You’ll be less stressed knowing that it has all been submitted. 

 

6. Less risk of errors being made if you don’t leave it to the last minute. 

 

7. It gives you time to gather your records and identify any missing information that you may need to request. 

 

 

WHAT HAPPENS IF YOU MISS THE SUBMISSION DEADLINE OF 31ST JANUARY 2025? 

 

You’ll get a £100 automatic late filing penalty from HMRC. 

 

After that, you then get £10 per day further penalty charges for 3 months before you start incurring 5% tax-geared penalties. 

 

You also won’t know how much tax you must pay HMRC and so you’ll start to get the late payment issues outlined below. 

 

 

DON’T FORGET TO PAY YOUR TAX BY 31ST JANUARY 2025! 

 

You’ve got your tax return submitted, great, but don’t forget you need to pay your taxes by 31st January 2025 too! 

 

If you pay late, HMRC charge daily late payment interest of 7.5% per annum starting from 1st February 2025. 

 

Additionally, there is also a 5% penalty charge if taxes remain unpaid by 2nd March 2025. The 5% charge is based on the unpaid balance owed. 

 

Key advice: 

- Get your tax return done now so you can budget for any tax owed or get your refund faster. 

- Avoid unnecessary late payment interest and charges by ensuring you pay your tax on time. 

- If you think you can’t pay your tax bill in full, get in touch with HMRC BEFORE the due date, to see if you can set up a Time To Pay Arrangement. This is an agreed payment plan that splits your tax bill into more manageable monthly instalments. 

 

Bristol-based firm Goverseth Accountants look after their tax return clients, helping them to stay compliant with HMRC, by submitting their returns on time and identify any tax saving opportunities along the way.