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Many happy returns?
s I write this, we have just
is allowed, but best done by an accountant). finished the tax return season. You could over the pandemic apply for up “But it finished in January!” I hear to five separate self-employed income support you cry. Well, no. This year HMRC scheme (SEISS) grants between May 2020 and in its wisdom decided to extend the deadline for September 2021, but the day of reckoning was a month. And when I say extend, I mean no fines this tax year, and the grants must either be taxed for missing the deadline but still having to pay or repaid. interest on money owed. You should: Gary Jacobs This was done last year, but we were all still very u Accept that they are taxable. Sorry, folks, but much still suffering from the effects of lockdown, they must go on the tax return. Gary Jacobs both financially and physically in our ability to get u Make sure your accountant knows. The grant runs Eaziserv, an things to each other, so it was a great help. In my had to be applied for directly so there was no accountancy firm opinion, I believe this extension was really to buy way for accountants to know automatically. If specialising in a bit more time for HMRC’s beleaguered systems you ‘by mistake’ forgot to tell your accountant, the taxi and private and staff. HMRC will follow it up, and their systems are hire business This year, however, the extension also brought scarily good. eaziserv.co.uk confusion and stress. Many of our beloved clients u Include details of the SEISS grant in your were just so battered and bruised by the past few trading income if you claim working tax years that we more or less had to carry them over the line. credits or universal credit. Nationally, more than a million people still submitted their THE GREAT UNTAXED returns during February. I can’t go without also mentioning what happens this April. A word from the heart to those of you who still haven’t From April 2022, taxi and private hire drivers will have to pass submitted your tax return. According to HMRC, there are tax checks before renewing or applying for their licenses. It’s about “1.3m customers who were expected to file by the called Conditionality. January 31 deadline but did not do so by February 28”. If you are paying tax, there’s no need to worry, though Interest rates of 2.75% being attached to outstanding your licensing process will just take a little longer. If you are tax returns since February 1, increasing to 3% on February not registered for tax, don’t panic. You need to think about 21, meaning that any of you who didn’t make the original registering. deadline will still end up out of pocket. As many of you Just a word of advice; tax software on its own isn’t enough, if probably know, late filers are also looking at a £100 penalty, you haven’t been registered for a long time you will need some and if people continue not to file, these carry on, so please help, which an accountant can do with you and for you. even if you missed the boat, jump in a canoe, and get it sorted. It’s something us trade accountants do quite regularly. If you are subject to penalties, but still need to get that You can find out more in our Tax Jargon Buster, a free online return done, you do have options. HMRC says: “We understand resource. You can find it here: some customers might be worrying about paying their selfhttps://www.eazitax.co.uk/resources/booklets assessment bill this year, and we want to support them. To see Actually, I might as well offer all Professional Driver readers if you’re eligible to set up a payment plan, go to gov.uk and our Tax Jargon Book aimed at answering questions for any search ‘pay my self-assessment’.” driver taxed or not. Just contact us and ask for a free copy. We have always advised people to seek to set up payment plans. Sometimes it does mean an uncomfortable talk with a n Gary Jacobs is a director of revenue officer online, but you do have the “If you are Eazitax, an industry specialist Taxpayers’ Charter on your side, which in accountancy practice. He sat on paying tax, there’s effect says you must be treated fairly. the original HMRC Conditionality THE SEISS GRANT – A WARNING no need to worry, panel and is currently involved Even though the tax returns are in, I with the major trade bodies in The though your licensing have a warning for everyone, which may Conditionality Campaign. process will just mean many people will have to take the Eazitax.co.uk/conditionality opportunity to amend their return (yes, it #conditionalitycuppa take a little longer...”
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