Most people have a dislike in common: completing their tax return! Whether you pay corporation tax, income tax or maybe both, you’ll need to complete a tax return. Despite generous timescales, it’s something that most people leave until the last minute.
“As accountants, it’s our job to gather the necessary details from our clients – businesses and individuals – to ensure that tax returns are completed and submitted in good time,” says Suzanne Spicer of Spicer & Co Chartered Accountants based in Dunstable.
“Our role is to minimise the amount of tax that becomes due and take away the headache of completing your tax return,” she adds. “Yes, we can complete tax returns just before the deadlines – late January is always very busy! But – receiving details in good time gives us greater opportunities to plan and track down all the information needed. In fact, the earlier we receive your details, the better!”
6 Reasons to Complete Your Tax Return Early
1. You know what you owe. Filing your tax return early gives you longer to budget and ensures that you know the exact amount of tax due.
2. Get your refund! You may be entitled to a repayment – it’s better in your account than HMRC’s!
3. Avoid panic and penalties. If you are employed, your P60 is available now. If you have benefits, you should receive your P11D by 6 July. Somehow, information is always easier to find when time is on your side! Avoid frantic searches for key details in December, or even worse – penalties for late tax return submission as you simply can’t find the information needed.
4. Tax planning for future years is more effective when some time can be dedicated to it. At Spicer & Co, we make a point of understanding your goals for your business and/or your personal finances. Earlier conversations give us a better opportunity for tax planning to meet your aims.
5. Avoid the unknown! Whether it’s extreme weather, illness or your hungry hound… unexpected events can result in late submissions and a financial penalty. The amount involved is a minimum of £100.
6. Tick that task! It’s often a relief to finish uninviting jobs. Crossing off your tax return from your ‘to do’ list allows you to concentrate on what you enjoy – from running your business to a well-earned holiday!