Tax season has always been a busy time of year for tax accountants in London, with the last few weeks of April often being their busiest time of the year.
Even in the era of digital filing, however, this hasn’t changed much over the years and some tax accountants in London are still feeling the pressure as they strive to meet their clients’ needs while managing their workloads. So what can they do to prepare themselves? To help out, here are a few tips on what you should be doing before tax season starts up again.
January – New Year
If you run a business, you may want to look into getting an extension on your taxes. It will give you more time to gather all of your documentation and other information that might be relevant. In addition, if you are looking to get a loan or credit card application approved by February 1st, then it’s best to have everything submitted by January 31st.
February – Immediate tax on property
If you are a landlord, you will have to pay property taxes on rental properties by February 2. This amount changes from year to year, but it should be around £2,500 per property. If you fail to pay, you could face fines of up to £500 or interest charges at 3% above the bank base rate – whichever is higher.
March – Childcare vouchers available
The government provides Childcare Vouchers to help working parents pay for childcare when their youngest child reaches three. You can then claim back 20% of your bill (this is capped at a certain amount per week) through HMRC, which you’ll be able to reclaim if you use an accountant.
It’s worth speaking to one before you start making claims though – there are conditions attached and some tax accountants in London may not be willing to handle vouchers just yet.
April – Self-Assessment Tax Deadline
It’s time to start thinking about your taxes, because of a deadline known as the Self-Assessment Tax Deadline which falls on April 5th. A self-assessment return must be submitted by all taxpayers who are residents in the UK for tax purposes if their total income was £100,000 or more.
If you fail to submit your return by 4/5/18 at midnight GMT then a fine of £100 may be imposed on each late day.
May – End of Financial Year
The month of May is when a lot of companies prepare their books and accounts for audit purposes. In July, companies start to submit and pay their annual business taxes. Tax returns are due to be completed by 15th August as per HMRC regulations.
This can mean that July, August and September are extremely busy months for tax accountants in London. Many bookkeepers choose to take on more clients during these months as they increase company revenue substantially. Other popular businesses during tax time include payroll services and estate agencies.
June/July – Excess free school meals paid out
Receiving extra school meal payments at term time could put your claim at risk if you don’t complete your self-assessment return. Speak to tax accountants in London today to find out how they can reduce your risk and ensure your claim goes through as quickly as possible.