An accountant is urging people to use the Christmas period to file their tax returns.
This year, 2.3 million business owners in the UK failed to file their self-assessment for 2020 to 2021 by the deadline of midnight on January 31, according to HM Revenue and Customs.
630,000 people filed theirs on January 31, with just under 21,000 of those filing between 11pm and 11:59pm.
Colin Bielckus, who runs accountancy firm Avenue Business Services in Whiteley, is urging people to use the period across Christmas and new year wisely and get all of the information needed to file their tax return if they haven’t done so already.
He said: ‘The stats are eye-watering and shocking, but sadly for us accountants it doesn’t come as a surprise, seeing how many people come to us at the very last minute in a panic year after year.
‘Not only will your accountant thank you, but it’ll be one less thing to worry about when you go back to work in the new year, as we all know how hectic that can be, especially when you have taken time off. My advice would be to use the Christmas period – when you’re not eating mince pies or drinking Buck’s Fizz – to gather up the information you need ready to hand over to your accountant as soon as they’re back open.’
Around 80 per cent of people filed their tax return on time, with more than 10.2 filing on or before the deadline, but Colin thinks this number could drop this year due to the cost-of-living crisis.
He said: ‘Peoples’ bills are mounting and it’s becoming increasingly hard to stay on top of payments, so people are more likely to be unable to cover the payment and will wait until they do have the funds.
‘If you’re in the latter category, it’s important to remember that there are options and you can seek support and I’d strongly recommend this if you have a grey cloud over your head this Christmas worrying about January approaching.’
Although the Government waived the late payment fee for the 2020 to 2021 tax year, they have not done so this year, meaning people who file after the deadline will have to pay an additional fee.
However, the Time to Pay service allows customers who cannot pay their tax bill in full to pay in monthly instalments instead.
