On The Spot Blogs
5 Reasons To Submit Next Year's #Tax Return In April 2015
You may ask why do you put yourself through this every year?
You know the deadline in advance, and you have a whole 10 months to get your income tax return done, so what is stopping you?
Here are some good reasons to get next year's tax return in quickly:
1. You may be due a tax refund. If so, don't you want that cash in your account rather than HMRC's? Refunds do occur quite often even for employees. Often the tax code was wrong or you paid more tax deductible costs such as charitable donations than the year before.
2. If HMRC need to ask questions, they have 12 months from the date you file the return. So, if you submit it on the 6 April 2015, HMRC have to ask questions by 5 April 2016. Firstly, HMRC is likely to regard an early filing as a good thing. Secondly, they need to be very organised to get their notice to you that early in the tax calendar. Thirdly, you have more certainty that your tax bill is an agreed thing.
3. With more time far away from a deadline, the job isn't rushed and fewer errors are likely to arise.
4. More time also allows you and your accountant to not only review your tax position, discuss your business and your future plans, any resultant advice, such as making tax efficient investments, can be made at the beginning of the next tax year, in good time with proper consideration.
5. You can enjoy the summer and Christmas, for once!