Deadlines for tax returns and payments update

When your run your own business deadlines for tax returns and payments are important and your tax obligations get a little more complicated than simply completing an annual self-assessment tax return. Tax return and payment deadlines, VAT, Corporation Tax, National Insurance contributions and possibly even PAYE payments suddenly become part of your administrative workload. You no longer have an employer taking care of everything for you.

So, to help you through the rest of the current financial year, we’ve put together the following guide to the key HMRC deadlines for tax returns and payments 2018/19.

Self Assessment

5th October 2018 – if you are self-employed, a sole trader, a company director or partner in a partnership and you are not already registered for self-assessment, this is the deadline to register.

31 July 2018 – deadline for your second Self-Assessment payment on account for tax year ended 5 April 2018.

31 October 2018 (midnight) – deadline for paper Self-Assessment return for tax year ended 5 April 2018.

31 January 2019 – deadline for online Self Assessment return for tax year ended 5 April 2017. This is also the deadline for paying all remaining Self-Assessment taxes due for tax year ended 5 April 2018 and making your first payment on account for the tax year ending 5 April 2019.

VAT

VAT payments are made monthly, or more usually, quarterly. Your deadline will depend on when you registered for VAT and when your accounting periods begin and end. So long as you do it online, you’ll normally have a full calendar month plus seven days from the end of your accounting period to complete your VAT return and make your payment. For example:

If your current VAT period runs from May to July 2018 and you pay by Faster Payments, your next VAT deadline will be 7 September 2018. To find your exact VAT return and payment deadline, enter your accounting period and preferred payment method into HMRC’s VAT deadline calculator.

Jargon buster – what are Faster Payments? 

These are payments made online or via telephone banking and they usually reach HMRC on the same or next day, including weekends and bank holidays.

Corporation Tax

If your taxable profits are less than £1.5 million, your Corporation Tax payment deadline will normally be 9 months and 1 day from the end of your accounting period. This applies after your first year of trading as the deadline for your first return can sometimes be slightly sooner. You’ll receive notification from HMRC when your Corporation Tax is due.

The end of your accounting period is normally the month end of the anniversary of your incorporation.

The Corporation Tax return is due to be filed with HMRC within 1 year of the end of the accounting period.

If you’ve made more than £1.5 million in profits, you’ll have to pay your Corporation Tax in instalments. Assuming your company has a 12 month accounting period, your instalment dates will be:

• 6 months and 13 days after the first day of your accounting period
• 3 months after your first instalment
• 3 months after your second instalment
• 3 months and 14 days after the last day of your accounting period

PAYE and Class 1 National Insurance (NI)

If you employ staff, you must pay your PAYE and Class 1 A NI bill by the 22nd of the following tax month if you pay monthly.
Below is the full list of tax month endings along with  their corresponding payment deadline for PAYE and Class 1 NI:

If you pay PAYE and NI quarterly, the deadlines are:

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Meeting HMRC’s Deadlines for Tax Returns and Payments

For internet, telephone, BACS, BillPay, Bank Giro and Post Office counters payments, allow two working days for funds to clear with HMRC. If you pay by cheque, HMRC needs to receive this at least three working days before the payment deadline.

You can make CHAPS/GBS Transfer and Faster Payments on the payment deadline day.

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