Self-Assessment Tax Return: HMRC Urged to Extend Deadline “As Soon As Possible” As SEISS Issues Emerge | Personal Finances | Finance

Rishi Sunak has been urged to extend the self-assessment tax filing deadline as millions of self-employed workers battle coronavirus and complicated interference from SEISS. As it stands, self-assessment returns for the current year must be filed and paid by January 31.

Typically, a large number of people miss the deadline each year, but Kevin Sefton, CEO of Hairline, the personal tax application, warned that the numbers could rise this year: “One million people miss the deadline. January 31 tax deadline in most years.

“But it looks like there will be an even higher number this year due to COVID-19 and the associated ripple effects.

“While a delay is not the kind of thing HMRC will easily accept, we are asking for an extension of the filing deadline AND the payment deadline this year all at once.”

Kevin went on to explain how the recent rule changes regarding the latest lockdown could make the situation even more difficult.

READ MORE: SEISS: Guidance released on how self-employed people can prepare for 2021

The government warns that if HMRC is not paid on time, those affected will be charged interest and may have to pay an additional penalty.

It should be noted that while there are many methods to cover the payment, processing times may vary.

These times will have to be taken into account by those who left it at the last minute.

This is especially important to note as HMRC is expected to be slow this year given the impact of the lockdown.

If a person cannot afford to pay their last bill in full, they can set up a payment plan to cover costs throughout the year as long as they owe £ 30,000 or less and has no other payment plans or debts with HMRC.

If this option is chosen, people will be able to choose how much they want to pay immediately and how much they will cover on a monthly basis in the future.

It should be noted that if this option is taken, interest will be added to the invoice and HMRC may require full payment if refunds are missed.

Self-employed workers who have also received a grant from SEISS will need to report the funds on their tax returns, although the grants themselves will not need to be repaid.

About Andrew Miller

Check Also

Why Michaels Stock Jumped Today

What happened michaels (MIC) Shares continued to dazzle investors today as the arts and crafts …

Leave a Reply

Your email address will not be published.