Local small businesses are being urged to complete their online tax returns ahead of the Christmas festivities to avoid fines.
Simon Hunt who runs TaxAssist Accountants King’s Lynn said: “The deadline for filing online tax returns is January 31, but we’re urging local business owners to tick tax returns off their list before Christmas, so they can enjoy the festive break, safe in the knowledge that they won’t be stung with hefty penalties.
“Some 840,000 UK businesses missed the deadline on January 31 this year, netting HMRC £84 million in fines. Even if they were only one day late filing their tax return online and even if they did not owe any tax, an immediate £100 penalty applied.
“The Government has said it plans to change to a driving licence-style points system for late filing of tax returns, but currently, in addition to the immediate fine, the figure can spiral, with returns which are three months late facing an additional £10 a day penalty up to a maximum of £900. Six months late would see 5% of tax due, or £300 if that is greater, added to the bill. After 12 months, another 5% of tax due, or £300 if that figure is more, is added.
TaxAssist Accountants King’s Lynn is a local business providing tax and accountancy advice and services purely to small businesses.