On 6^th April 2019 the new tax year began, this means that records for the last tax year need to be collated and information prepared so that the 2018/19 tax return can be made, the online filing deadline for this is 31 January 2020.

Many people still file their tax returns at the very last minute, but we encourage all our clients to start getting ready so that the tax return can be filed as early in the year as possible. This article gives five reasons why we think this is useful for you and your business.

1. Managing Cashflow – by submitting your tax return early you will know what your tax liability will be in January 2020. This will help you to manage your cash flow and you can set aside some funds to make the payment when it is due.

2. Tax Refunds – If you are due a tax refund then this is accelerated, and you can have the refund early in the year. This can be very useful for new start-up businesses that have had to pay out a lot when setting up their business.

3. You reduce the risk of getting any penalties for late payment. If you leave it to the last minute and something goes wrong and you miss the 31 January deadline, you get fined £100 immediately. After three months you could incur £10 per day fines for the next 90 days and then the fines continue to increase.

4. You reduce the risk of errors – there is a lot of information to collate so the less time you have the more stressful it can become. For example, you need your P45s, P60s, P11d, expenses, invoices, and bank statements and much more.

5. Finally, don’t let your tax return ruin your Christmas break. It seems like a long way off but if you can submit your tax return early you can enjoy Summer and Christmas with your family instead of feeling worried about your tax return.

If you want to discuss your tax return and need any advice contact us directly by calling 01623 490 120 or email This email address is being protected from spambots. You need JavaScript enabled to view it..