HM Revenue and Customs (HMRC) is set to start issuing £100 fines in just two weeks to those who miss the self-assessment tax return deadline. Millions of self-employed individuals and higher earners across the UK are urged to file their online tax returns promptly to avoid penalties.
Mike Ambery, Director of Retirement Savings at Standard Life, part of the Phoenix Group, emphasized the urgency for taxpayers to act swiftly. “The deadline for Self-Assessment is just two weeks away, and many self-employed and higher earners will be feeling under pressure to act,” he said.
He warned that although completing tax returns may not be enjoyable, missing the deadline carries immediate financial consequences. “HMRC charges a £100 fine for those who miss the initial deadline alone,” Ambery explained.
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This deadline is especially important for families claiming child benefit. A slight increase in income could trigger the High-Income Child Benefit Charge (HICBC), making it essential for affected individuals to submit their tax returns on time.
Alastair Douglas, CEO of TotallyMoney, highlighted the pressure on HMRC’s helpline as the deadline nears. “Millions of taxpayers will need to submit their self-assessment returns before the end of the month. As we get closer to January 31, HMRC phone lines will become increasingly busy, particularly during midday and later hours,” he advised.
Douglas encouraged taxpayers to seek assistance early if needed, noting that acting sooner can save both time and money. He added, “HMRC will begin imposing £100 fines for returns up to three months late, plus late payment interest charges at a rate of 7.75% per year.”
Taxpayers are urged to complete their returns promptly to avoid penalties and interest, ensuring a smoother tax season ahead.