Tax experts warn UK households, especially those earning above £50,271 last year, that they could be missing out on thousands of pounds in tax relief if they haven't filed a self-assessment tax return. The deadline for filing is January 31st.
UK households could be eligible for thousands of pounds in tax relief from HMRC , experts warn. Specifically, individuals who earned above £50,271 last year and haven't filed a self-assessment tax return may miss out on significant tax relief related to pension contributions, according to Birmingham Live.
Dean Butler, Managing Director for Retail Direct at Standard Life, part of Phoenix Group, advises: 'The deadline for filing self-assessment tax returns is rapidly approaching, with paperwork needing to be submitted online by midnight on January 31. ' He emphasizes the urgency for those required to file a return – such as the self-employed or high earners – to act promptly: 'Tax returns aren't known for being enjoyable, but it's crucial to understand the requirements and file it on time to avoid any penalties, which can be substantial – last year, HMRC collected a record £220 million in late-filing fines.' Mr. Butler further notes: 'Higher rate taxpayers should complete a self-assessment return every year they've paid higher rates, and anyone who hasn't done this may have accumulated unpaid tax relief. It's worthwhile investigating if this applies to you, as you can make claims for up to four previous tax years, meaning you could be owed thousands of pounds from the government.' Tax expert Mr. Butler issues a warning for higher rate taxpayers, stating: 'HMRC doesn't typically remind non-self-employed individuals to submit a self-assessment, so any higher rate taxpayers who pay their tax through PAYE need to proactively request to submit a tax return.' He cautions: 'Ensure to verify your tax code is accurate before submitting your self-assessment.' Offering advice, he adds: 'If you require assistance with your self-assessment, you can contact HMRC or find an accountant accredited in the UK to help, which can be relatively affordable. You can also appoint a relative or friend to complete and send your tax return on your behalf.' Furthermore, Mr. Butler explains: 'You'll also be sent your activation code, which can take up to ten days to arrive. You need to activate your account within 28 days of the code arriving, or it will expire. You'll then be able to use the HMRC online service to submit your return. Alternatively, you can send your tax return via post.
TAX RELIEF HMRC SELF-ASSESSMENT TAX RETURNS PENALTIES HIGHER RATE TAXPAYERS
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