The deadline for submitting your self-assessment tax return is approaching, and failure to meet it will result in an immediate £100 fine from HMRC. As of January 23, HMRC reported that 3.3 million people still needed to file their tax returns for the 2024/25 tax year by midnight on January 31.
Various circumstances may require you to file a self-assessment tax return, such as being self-employed, earning additional income beyond your primary employment, receiving rental income, or being a high earner claiming Child Benefit.
Late submissions will incur a £100 penalty from HMRC, regardless of whether you owe any taxes, provided you are registered for self-assessment. The penalty escalates to daily fines of £10, up to a maximum of £900 after three months, and further increases after six and twelve months.
It is essential to settle any tax liabilities by January 31 to avoid incurring interest on late payments. If you owe less than £30,000 and are struggling to pay, you may qualify for a Time to Pay arrangement with HMRC, subject to certain conditions.
To avoid penalties, ensure you registered for self-assessment by the deadline last year. MoneyHelper.org.uk outlines situations where filing a self-assessment tax return may be necessary, and you can also verify your filing obligations on the HMRC website.
By leveraging cookies and device identifiers, Reach and its partners aim to enhance user experience, analyze site usage, and deliver personalized ads. Opt-out options are available, and continued use of the website indicates acceptance of cookie usage and consent to the stated practices in the Privacy Notice and Terms and Conditions.