File early for HMRC to do the tax sums

Nine million people, including small business owners, have until the end of the month to complete a self assessment tax return, if they want the taxman to do the sums for them.

HM Revenue & Customs (HMRC) is reminding taxpayers that if their self assessment returns are received by September 30, they guarantee to make the calculations and tell you what you need to pay, in time for the January 31 deadline for payment. HMRC's Director of Self Assessment, Mike Shipp, said: "Filing your self assessment tax return by September 30 means you can sit back and relax, while we do the calculations. Otherwise, you'll be responsible for calculating how much tax you owe, and getting it wrong could lead to interest being charged on any underpaid tax.

"In particular, employees within the self assessment system should now have their P60s, which show the amount of tax they've paid, and their P11D information, which shows any taxable benefits, so they should have all the information they need to file now.

"Getting your return in by the September deadline makes a lot of sense, so send your completed return to us by the end of the month, and we'll do the sums."

Filing online

Returns can be filed online, through the HMRC website. Calculations are done automatically, you receive an immediate acknowledgement and, if HMRC owes you money, a faster repayment than if your return is sent on paper.

If you need help with your return, you should visit the self assessment pages on HMRC's website or call the self assessment helpline, which can be contacted seven days a week on 0845 900 0444 between 8.00am and 8.00pm.

If you haven't filed your tax return by January 31 and paid any money due, you will receive an automatic £100 penalty and be charged interest on any money owed.

Introduced in 1997, self assessment applies to the self-employed, company directors, those with business partners, higher-rate taxpayers, or people who otherwise have complicated tax affairs.