Time could be running out for people who need to file a self-assessment tax return for the first time this year.
First-timers will need a Government Gateway ID to submit their return and the 10-day wait to receive this will push those who don't order one this weekend over the January 31 deadline, risking a £100 fine.
Nearly half of those who need to file a return have yet to do so, with HMRC figures showing that around 5.7 million self-assessments have not yet been filed out of an expected 12 million workers due to submit their return by the deadline. The tax office has already warned that there will not be a repeat of last year's extension until the end of February.
The deadline for filing your tax return by post was October 31 last year, so if you have not filed yet, you must by the end of this month to avoid penalties.
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Last year, more than 630,000 filed their return on deadline day, with the peak time to do so between 4-5pm.
You will not normally have to complete a tax return if your only income is from your wages or pension, but you must send a tax return if, in the last tax year (April 6 2021 to April 5, 2022, one of the following applied:
- You were self-employed as a ‘sole trader’ and earned more than £1,000;
- You were a partner in a business partnership;
- You received certain Covid-19 grant or support payments;
- You earned money from renting out a property;
- You received tips and commission;
- You had income from savings, investments and dividends;
- You received foreign income.
In addition, you may also have to send a return if:
- You claimed Child Benefit and your income (or your partner’s) was over £50,000, as you may need to pay the High Income Child Benefit Charge;
- If you want to claim some Income Tax reliefs
- If you need to prove you’re self-employed, for example to claim Tax-Free Childcare or Maternity Allowance
People will get a penalty for missing the deadline - with a fine of £100 if your tax return is up to three months late. That figure will increase if it's later, or if you pay your tax bill late. Interest will also be charged on late payments.
You can check if you need to submit a tax return here.
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