Welsh taxpayers urged: Don’t miss the Self Assessment deadline!

With the busy festive season approaching, HM Revenue and Customs (HMRC) is calling on Wales’ 410,000 Self Assessment customers not to miss the 31 January deadline.

The 2019-20 tax return can be finalised at any time up to the deadline but HMRC is encouraging customers to complete it early to allow for more time to pay their tax bill or set up a payment plan.

Customers must complete a Self Assessment return if:

• they’ve earned more than £2,500 from renting out property
• they’ve received, or their partner has received, Child Benefit and either of them had an annual income of more than £50,000
• they’ve received more than £2,500 in other untaxed income, for example from tips or commission
• they are a self-employed sole trader whose annual turnover is over £1,000
• they are an employee claiming expenses in excess of £2,500
• they have an annual income of over £100,000
• they have earned income from abroad that they need to pay tax on

HMRC’s Interim Director General of Customer Services, Karl Khan, said:

“The 31st January deadline for tax returns is still a few weeks away, but customers don’t have to wait until then. We’re encouraging them to beat the busy January rush and get their tax returns in now.

“We know that many people are affected by the coronavirus pandemic this year and we’re here to help if they need to spread the cost of their tax bill. It’s quick and easy to set up a payment plan online and there’s no need to call us to set it up.”

Once Self Assessment customers have completed their 2019-20 tax return, and know how much tax is owed, they can set up their own payment plan to help spread the cost of their tax liabilities, up to the value of £30,000. They can use the self-serve Time to Pay facility to set up monthly direct debits and this can all be done online. Interest will be applied to any outstanding balance from 1 February 2021.

To find out if they’re eligible, customers can visit GOV.UK to learn more about the service.

Customers can also now check on GOV.UK whether they need to declare, or possibly pay tax, on any ‘casual’ income they receive. The new interactive guidance is quick and easy to use and explains what individuals need to do if they receive non-PAYE income from:

• selling things, for example at car boot sales or auctions, or online
• doing casual jobs such as gardening, food delivery or babysitting
• charging other people for using your equipment or tools
• renting out property or part of their home, including for holidays (for example, through an agency or online).

Be aware of copycat HMRC websites and phishing scams. Customers should always type in the full online address www.gov.uk/hmrc to get the correct link for filing their Self Assessment return online securely and free of charge.

They also need to be alert if someone calls, emails or texts claiming to be from HMRC, saying that they can claim financial help, are due a tax refund or owe tax. It might be a scam. Check GOV.UK for information on how