Tax Returns: The Benefits of Beating the 31st of July Deadline
Yes, we know, the filing deadline for your tax return is 31 January, but in our mission to ensure small business owners are financially literate and confident in their business accounts, we aim to file all our clients tax returns before 31 July,
Here are 9 top benefits to filing before 31 July.
- Plan Finances Effectively: By filing early, you gain a clearer picture of your tax liabilities, allowing you to plan and manage your finances more effectively. You have longer to save for your liabilities.
- Potential Refunds: Early filing increases the likelihood of receiving any tax refunds promptly, providing an injection of cash flow into your business.
- Avoid Penalties: Missing the deadline incurs an immediate penalty of £100. Further delays can lead to additional fines and interest on outstanding tax, which increase the longer your delay. These penalties can quickly escalate and significantly impact your finances.
- Interest Charges: Any tax owed but not paid by the deadline accrues interest, adding to your financial burden.
- Maximize Tax Planning Opportunities: Early filing provides ample time to assess your tax liabilities and explore strategies to minimize your tax bill legally.
- Avoid Last-Minute Rush: Filing early eliminates the stress and pressure associated with rushing to meet deadlines, allowing you to focus on your business and personal priorities.
- Peace of Mind: Completing your tax return well before the deadline alleviates the stress and rush associated with last-minute filings, providing peace of mind, and reducing errors.
- Negative Impact on Credit Rating: Persistent failure to meet tax obligations can harm your credit rating and affect your ability to secure financing or contracts in the future.
- Compliance: Filing on time demonstrates your commitment to complying with tax regulations, which is crucial for your business reputation and credibility.
- And finally, your accountant will keep you on their Christmas card list!
Filing your self-assessment tax return before the 31st July deadline is a fundamental aspect of responsible financial management for business owners. By prioritizing timely filing, you avoid penalties, maintain compliance, and gain greater control over your finances, empowering you to focus on growing your business with confidence. Don’t wait until the last minute—start preparing your tax return today and enjoy the peace of mind that comes with staying ahead of the curve. Contact us today for further help, letschat@bean-sprout.co.uk
