HMRC have set out several benefits for completing and submitting your annual tax return well before the deadline of 31 January. Here are some of the benefits:
1. If you are due a refund you will get this sooner rather than later.
2. You will know what you owe well in advance of the payment date. You will not have to make a payment any earlier than 31 January, except if you have a payment on account due by 31 July which you will already know about.
3. Once you know what you will have to pay you may find you can reduce your 31 July payment on account - as long as you have done your return in advance of that date, of course.
4. Your tax return provides proof of income which you may need for a mortgage, a loan, or benefits - so the sooner you submit it the sooner you will have this proof.
5. There is no risk of a penalty for missing the submission deadline.
6. Peace of mind - get it over and done with and get on with your life!
If you struggle to find time to gather your accounts together a bookkeeper will help by doing your accounts for you on a regular basis and having the annual figures available for you or your accountant to submit your tax return.
