Another year, another set of successfully completed tax returns. Yet again, Rutter & Allhusen has managed to complete all tax returns (where information was provided) before the deadline, and we hope to continue this trend in the future.

Here are some startling statistics from HMRC;

  • 758,707 people completed their return on the 31st January, with 30,348 people completing their return in the final hour before the deadline. [1]
  • The most popular hour for submission was 4pm to 5pm on the 31st January, with 60,596 returns received- which is around 17 per second! [1]
  • Of the 4,852,744 tax returns received online in January 2018 (44.8% of all returns received!), 1,290,948 were received on 30th and 31st January! [1]
  • 745,588 returns are currently still outstanding (1/2/18), only 6.5% off all tax returns which were due (11,433,349) [1]

 

HM Revenue & Customs have also released some of the reasons people haven’t submitted their tax returns on time. Here are some of our favourites;

  • My tax return was on my yacht, which caught fire. [2]
  • A wasp in my car caused me to have an accident and my tax return, which was inside, was destroyed. [2]
  • I couldn’t file my return on time as my wife has been seeing aliens and won’t let me enter the house [3]
  • My ex-wife left my tax return upstairs, but I suffer from vertigo and can’t go to retrieve it [3]
  • I had an argument with my wife and went to Italy for 5 years [4]

The classic;

  • My dog ate my tax return…and all of the reminders [2]

And the not so classic;

  • My tax papers were left in the shed and the rat ate them [4]

Although these reasons are amusing, we wanted to stress to you the importance of getting your information in on time. You can hand in your paperwork to us from the 6th April 2018, which we would urge you to do, so you can avoid the hefty fines that come from a late submission.

The fines for a late submission include;

  • An initial £100 fixed penalty which applies even when there if no tax to pay, or if the tax due is paid on time
  • After 3 months, additional daily penalties of £10 per day, up to a maximum of £900
  • After 6 months, a further penalty of 5% of the tax due or £300, whichever is greater
  • After 12 months, another 5% or £300 charge, whichever is greater

There are also additional penalties for paying late of 5% of the tax unpaid at 30 days, 6 months and 12 months.

If you are not currently a client of Rutter & Allhusen and you feel that a proactive accountant would be beneficial to you and your business please contact us to discuss how we can work with you going forwards.

 

[1] https://www.gov.uk/government/news/on-time-self-assessment-returns-break-the-record-again

[2] https://economia.icaew.com/en/news/december-2016/the-top-ten-worst-late-tax-return-excuses

[3] https://www.simplybusiness.co.uk/knowledge/articles/2018/01/hmrc-reveal-the-worst-tax-return-excuses-and-failed-expenses-claims/

[4] https://www.gov.uk/government/news/hmrc-reveals-top-10-worst-tax-return-excuses-for-201314

 

 

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