If, like me, you run your own business and are self-employed you are likely to have received a letter from HM Revenue & Customs (HMRC) reminding you to complete a self-assessment tax form.
And with the online filing deadline of 31 January now only two weeks away, there’s no time like the present!
Under the self-assessment system, individuals are responsible for ensuring their tax liability is calculated and paid on time. If a completed return is not sent to HMRC before the 31 January deadline, an automatic penalty of £100 will apply.
There are also a number of changes relating to the latest tax return period – 6 April 2009 to 5 April 2010 – to be aware of including those linked to pension contributions.
Joanne Crewe, a financial planning manager at the Guildford office of PKF (UK) LLP, notes:
"Preparing a tax return for 2009/10 is more complex than previously if you had income over £130,000 that year and you or your employer made pension contributions: take advice to make sure you get it right."
For further information visit the HMRC website: http://www.hmrc.gov.uk/sa/index.htm
Good luck!
