Tax return and payment deadlines you need to know

Chris Andreou

April 26, 2021

deadline for tax return guide

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Tax

Introduction

Tax season can be stressful for small business owners.

You don't have the convenience of having an employer filing for you. While there are all kinds of tips and strategies for managing your taxes, the first order of business is to get key deadlines noted on your schedule, and determine how and when to make your payment

Here's what you need to know:

Know these key dates

For the tax year 2020/21 (6 April 2020 - 5 April 2021), the deadlines for filing your tax returns are: 

  • 31 January 2022 (Online submission of self assessment tax return for the year ended 5 April 2021) 
  • 31 October 2021 (Postal submission of self assessment tax return for the year ended 5 April 2021) 

Keep in mind that the 2021/22 tax year began on 6 April 2021. All untaxed income earned from that date falls into the 2021/22 tax year, and you have until midnight on 31 January 2023 to file your Self Assessment tax form. 

As a contractor or business owner, you need to be aware of more than just the filing deadlines.

Here are four key dates to take note of:

  • 31 July 2021: Deadline for the second payment on account for the 2020/21 tax year. If this payment does not completely cover your tax debt, you'll have until 31 January 2022 to make a 'balancing payment.'
  • 5 October 2021: Deadline for registering as self-employed for the financial year ending 5 April 2021. If you already notified HMRC in the previous year, don't worry about doing it again.
  • 31 October 2021: You must file your Self Assessment tax form (paper copy) for the tax year ending 5 April 2021 by this date.
  • 30 December 2021: If you owe less than £3,000 for the tax year ending 5 April 2021, and want your tax to be collected through PAYE, you need to file your online tax return by this date (or by submitting a paper return by 31 October 2021).

Check out our Self Assessment package if you need help with getting your 2020/21 Self Assessment tax return sorted out.

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Late filing and payment penalties

If you file late or fail to pay on time, you will incur fees and interest from HMRC.

If you miss the deadlines noted above, here's an outline of fees you should expect.

  • 1 day late: £100
  • Up to 3 months late: £10 per day in addition to the £100 one-day late fee. The HMRC does set a maximum of £1,000.
  • 6 months late: £300 or 5 percent of the tax due. The HMRC takes the higher amount, in addition to the penalties above.
  • 12 months late: £300 fine or 5 percent of the tax due, plus the above penalties. In some cases, persons have been fined 100 percent of their tax bill, actually doubling the taxes due.

Tip: If you've missed the deadline for filing your paper tax return, simply file it online.

As noted above, this gives you an additional three months to file within the deadline. Keep in mind not to file both an online and paper tax return.

How to file and pay

The HMRC allows for online filing and paper filing of tax returns.

However, in line with the government's Making Tax Digital plans, paper filing may be done away with in the near future. We recommend going with online filing, which is quicker, easier and gives you extra time.

The HMRC's Faster Payments program allows you to make a payment online or via telephone banking that reaches HMRC the same day or the next day-including weekends and bank holidays. 

You can also pay online, over the telephone, and through BACS, BillPay, Bank Giro and Post Office counter payments. Be sure to allow two working days for these payments to reach HMRC. If you're making a cheque payment, allow for three working days.


Small Business Accounting Guide

What's Inside:

  • When and why you may want to register a Limited Company
  • Advantages and disadvantages of a Limited company
  • Limited company alternatives
  • When to register for VAT
  • Advantages and disadvantages of VAT
  • How to take money out of your company
  • Dividend tax rates
  • Limited company expenses & corporation tax
  • Annual accounts and deadlines
  • Confirmation statements and deadlines
  • Self Assessment tax returns
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Small Business Accounting Guide

What's Inside:

  • When and why you may want to register a Limited Company
  • Advantages and disadvantages of a Limited company
  • Limited company alternatives
  • When to register for VAT
  • Advantages and disadvantages of VAT
  • How to take money out of your company
  • Dividend tax rates
  • Limited company expenses & corporation tax
  • Annual accounts and deadlines
  • Confirmation statements and deadlines
  • Self Assessment tax returns

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Book a free 30 minute call with an accountant. We'll help walk through setting up your business, switching accountant or any of your tax queries. All our accounting packages come with a free 30 day trial.

pay for self assessment tax guide
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Can I change my company's accounting date / year end date? Guide

Can I change my company's accounting date / year end date?

You can change your company's year-end-otherwise known as the accounting reference date (ARD). Changes can be made to your current financial year or the year before.

Your company's financial year can be shortened as many times as you want, with the minimum duration you can shorten it by being one day. You can lengthen your company's financial year by up to 18 months once every five years. If other conditions apply, such as if your company is in administration, you'll be able to lengthen your financial year more often.

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What are the deadlines for payment of PAYE taxes? Guide

What are the deadlines for payment of PAYE taxes?

If you're paying salaries to employees or directors, you need to register for PAYE and pay your PAYE bill to HMRC.

  • Monthly payments: Your PAYE bill is due on the 22nd of the next tax month.
  • Quarterly payments: Your PAYE bill is due on the 22nd after the end of the quarter.

There are various ways to make your payment.

  • Same or next day payments: online or telephone banking, CHAPS
  • Payments processed in 3 working days: card payments (online), Bacs, cash or cheque payments at your bank or building society, Direct Debit, by cheque through the post
  • Payments processed in 5 working days: Direct Debit (if it's the first time you're setting up a Direct Debit payment)

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Company Filing & Deadlines: Self Assessment, VAT, Accounts, Tax & more Guide

Company Filing & Deadlines: Self Assessment, VAT, Accounts, Tax & more

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What are Company Deadlines? Guide

What are Company Deadlines?

As a limited company director, there are several important deadlines you need to be aware of. These are:

  • File your Self Assessment tax return: 31st January 2022 for the 2020/2021 tax year
  • Pay you Self Assessment tax: 31st January
  • Registering for VAT: Register for VAT within 30 days of meeting the conditions for compulsory registration
  • Filing and paying VAT returns: 1 month and 7 days after your VAT quarter end date
  • Company accounts: First year accounts are due 21 months after incorporation. Subsequent accounts are due 9 months after the year end
  • Corporation tax registration: You need to register within 3 months of trading commencing.
  • File your corporation tax return: 12 months following the end of your accounting period
  • Corporation tax payment: 9 months and 1 day following the end of your accounting period
  • File your Confirmation Statement: You need to file a confirmation statement every 12 months, within 14 days after your confirmation date.
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Tax return and payment deadlines you need to know Guide

Tax return and payment deadlines you need to know

Tax season can be stressful for small business owners.

You don't have the convenience of having an employer filing for you. While there are all kinds of tips and strategies for managing your taxes, the first order of business is to get key deadlines noted on your schedule, and determine how and when to make your payment.

Here's what you need to know:

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Download Now:

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What deadlines do I need to know as a contractor? Guide

What deadlines do I need to know as a contractor?

As a contractor running your own limited company, you need to be aware of the following deadlines:

  • File end of year accounts to Companies House: 9 months after your company year ends. If it is your first year, the due date will be 21 months from the date your company was incorporated.
  • File your confirmation statement: This is due on the anniversary of incorporation each year
  • File your corporation tax return: This is due 12 months from your company year end.
  • Pay your corporation tax bill: Payment is due 9 months and 1 day after the end of the company year
  • PAYE RTI (Real Time Information) Returns: A submission of your company payroll has to be submitted in real time each month to HMRC. This is due on or before the intended salary payment. Any tax due from this can be payable on a quarterly or monthly basis as follows:
  • the 22nd of the next tax month if you pay monthly
  • the 22nd after the end of the quarter if you pay quarterly
  • VAT returns: Usually submitted on a quarterly basis, the company VAT is due to be filed and paid within 1 month and 7 days from the quarter end.
  • Self Assessment tax returns: Your Self Assessment Tax Return is always due to be filed by the following 31st January after the end of the tax year. This date is also the same deadline for payment of any tax due but you may also have a payment on account due by 31st July after this.
  • P11D: The submission of the company P11D will need to made by 6th July with any payment of National Insurance arising due by 19th July (22nd if paid electronically)
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What are the late filing and payment penalties? Guide

What are the late filing and payment penalties?

PAYE

RTI late filing will incur a monthly penalty of £100, depending on the number of employees you have.

Self Assessment

A late filing penalty of £100 is imposed if your tax return is up to three months late. The penalty increases if you're later than three months, or if you pay your tax bill late. Additionally, interest will be charged on late payments.

VAT

You may be required to pay a surcharge if you submit a late return. Surcharges for late payments or VAT return filings are indicated on the HMRC website.

Corporation Tax

HMRC's penalties are as follows:

  • 1 day late: £100
  • 3 months late: An additional £100
  • 6 months late: Your total corporation tax bill will be estimated, after which a penalty of 10% of unpaid tax will be imposed.
  • 12 months late: An additional penalty of 10% of unpaid tax will be imposed.

Company accounts

The following penalties for private limited companies will be imposed if you fail to file your accounts with Companies House on time:

  • Up to 1 month late: £150
  • 1 - 3 months late: £375
  • 3 - 6 months late: £750
  • More than 6 months late: £1,500


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What is your First Accounting Year End Date? Guide

What is your First Accounting Year End Date?

The first accounting year end date for a new company is the last day of the month in which the first anniversary falls on. For example, if your company was incorporated on 15 January 2021, the first accounting year end date will be 31 January 2022.

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Small Business Accounting Guide