Leading accountancy firm warns of looming tax deadline

One of Wales’ leading accountancy firms is warning people to file their tax returns on time or face strong penalties.

With HM Revenue & Customs (HMRC) expecting nearly £90 million in fines for missing the deadline, ktsowensthomas is urging small businesses and individuals not to ignore the deadline for electronic submission and complete their tax returns by the 31st January.

With a few days to go until the tax deadline, it is predicted that over five million tax returns still remain outstanding in the UK.

Kate Moore, Senior Tax Manager at ktsowensthomas, says: “There are many benefits to filing your tax returns online. The deadline for filing paper returns has now passed and therefore by filing online, you can still meet the filing deadline.

“For an electronic submission you do however need an authorisation code, if you wish to submit the return yourself. Once this is in place, tax return information such as employment income, bank and building society interest and details of self employment income can then be entered electronically.”

Those that are struggling financially due to the current economic downturn may well be tempted to avoid completing their tax return. However ktsowensthomas is warning businesses not to make their own situation worse particularly when there are penalties imposed if the deadline is missed.

To help small businesses facing difficulties with their tax bills, HMRC has introduced a new service which allows these struggling firms to defer payments. The Business Payment Support Service allows tax payers to arrange an affordable payment timetable, allowing them to make payments over a longer period.

Where a deferment has been made, HMRC will not apply any late payment surcharges, although interest will be charged on outstanding amounts. Miss Moore continues: “This new service is a welcome relief for small businesses and will certainly help to ease the pressure in the current economic climate. Whilst many will still be tempted to ignore the deadline because of cash flow issues, we would urge them to get in contact with HMRC as soon as possible to arrange a suitable payment plan".

ktsowensthomas is a firm of three-dimensional accountants and tax advisors. With a head office in Cardiff and a regional office in Aberdare, we are well placed to cover the accountancy needs for business and private clients in south and mid Wales. We provide financial and commercial services to owner managed businesses, small businesses, mid to large corporates, public sector, charity, not-for-profit organisations and private clients across south Wales. Our expert Cardiff accountants or regionally based expert advisors would be pleased to review your audit, tax return, business accounts and annual reporting needs.

If you are a small business in Cardiff, Swansea or Newport looking for advice on audit, business consultancy, corporate finance, tax or wealth planning, please get in touch.

Latest News For Business

Currency Update