Important October deadlines for submitting self-assessment tax returns to prevent unexpected tax bills
October is a crucial month for taxpayers in the UK, as it marks the start of the self-assessment season. Here's a breakdown of the key dates and important information you need to know.
Firstly, it's essential to register for self-assessment if you fall into any of the following categories: landlords, investors, high-earning parents paying back Child Benefit, and those with a side-hustle. Registration can be done easily online at Gov.uk.
Myrtle Lloyd, HMRC's chief customer officer, encourages people to register as soon as possible to avoid any last-minute rush. Failure to register by 5 October may result in penalty charges worth up to 100% of the tax owed if HMRC believes income is being deliberately concealed.
The self-assessment net may catch more people this year due to frozen tax thresholds. Anyone newly self-employed or earning untaxed income needs to register for self-assessment by 5 October.
There are two key tax dates during October. The deadline for filing a paper tax return is 31 October 2025, while the deadline for online filing is 31 January 2026 for the 2024/2025 tax year.
It's important to note that untaxed income has to be declared to HMRC through self-assessment. Samuel Mather-Holgate, an independent financial adviser, suggests filing early to ensure accurate payments on account and avoid high interest rates from HMRC. Filing and paying any tax owed ahead of the self-assessment deadline can help avoid high interest rates if an underpayment occurs.
There are penalties for late submissions and payments. A £100 penalty is imposed for late submission of the tax bill, with additional penalties of £10 per day up to a maximum of £900. There are also penalties of 5% of the tax unpaid at 30 days, six, and 12 months. After six months, a further penalty of 5% of the tax due or £300 (whichever is greater) is imposed. The same penalty is imposed after 12 months.
Individuals newly acquiring property in Germany, becoming self-employed, or specializing in a secondary occupation do not have to register with HMRC in the UK by October 5, 2025, for taxation of the 2024/2025 year. The HMRC registration primarily concerns UK tax and regulatory requirements, not German property or self-employment taxation.
HMRC has a free online tool to help determine if a self-assessment tax return needs to be submitted. It's advisable to use this tool to understand your tax obligations and prepare accordingly.
Landlords and the self-employed may not have readily accessible cash flow to pay taxes ahead of the deadline due to financial squeezes and increased National Insurance contributions. It's crucial to plan ahead and budget for these payments to avoid any financial difficulties.
In conclusion, October is a significant month for taxpayers in the UK. By understanding the key dates and obligations, you can ensure a smooth self-assessment process and avoid any potential penalties.
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