Essential Dates Simplified
Running a small business comes with its own set of responsibilities, especially when it comes to navigating tax seasons. HMRC has outlined various dates for your calendar, covering VAT returns, payroll, personal tax returns, and corporate tax filing deadlines. Here’s a breakdown of the crucial financial and tax dates for 2023/4, in a way that you can actually understand.
Deciphering the Tax Year: 2023/24 Overview
Let’s begin by clarifying the UK’s tax year, which operates differently from the regular calendar. This timeframe, often called “the financial year,” is significant for both employed and self-employed individuals. The tax year spans from 6 April to 5 April of the following year, impacting various dates outlined in this guide.
Understanding the tax year is fundamental to ensuring you meet deadlines without incurring penalties. It might seem complex, but knowing when your year begins and ends simplifies the calculation of important dates.
Breaking Down the 2023/24 Tax Year:
- Start Date: 6 April 2023
- End Date: 5 April 2024
Now, let’s delve into the specifics of self-assessment tax returns.
For those in self-employment, as a sole-trader, partner, or business director, the Self-Assessment tax return is a key responsibility. This is your opportunity to take control of taxes and National Insurance Contributions (NICs). Mark these dates on your calendar:
- Registration Deadline: 5 October
- Filing Deadline (Paper): 31 October 2024
- Filing Deadline (Online): 31 January 2024
- Tax Payment Deadline: 31 January 2024
Missing these dates may result in penalties, so ensure you stay on top of your self-assessment obligations.
For businesses meeting specific criteria, VAT obligations are a reality. Charging and paying taxes on goods and services require regular VAT returns. Here’s what you need to know:
- VAT Registration Deadline: Within 30 days of knowing you’ll surpass the VAT threshold
- VAT Payment and Filing Deadlines: Quarterly, one month and seven days after the accounting period
Keeping track of your VAT obligations ensures a smooth financial process.
If you have employees on your payroll, meeting PAYE (Pay As You Earn) obligations is essential. This involves withholding income tax and NICs from employees’ salaries and remitting them to HMRC. Key dates include:
- Registration Deadline: 4 April
- Remittance (Paper): 19th of each month
- Remittance (Online): 22nd of each month
Adhering to PAYE obligations ensures a seamless payroll process.
Reporting Employee Benefits: P11D and Deadlines
If you provide benefits to your employees, P11D forms are necessary. These forms are due three months after the end of the tax year. Key dates include:
- P11D Deadline: 6 July
Meeting P11D deadlines ensures compliance with employee benefit reporting.
Capital Gains Tax: Sole Traders and Partnerships
For sole traders and partnerships, capital gains tax may apply when selling assets. The deadline for the 2023/24 tax year is:
- Capital Gains Tax Payment Deadline: 31 January 2024
- For Residential Properties: 60 days after completion date
Ensure timely payment of capital gains tax to meet your obligations.
Corporation Tax: Annual Duties for Limited Companies
Limited companies face annual obligations, including corporation tax payments. Key dates are:
- Registration Deadline: Three months after starting the business
- Payment Deadline: Nine months and one day after the accounting period
- Tax Return Deadline: 12 months after the accounting period
Understanding and meeting these dates ensures the smooth operation of your limited company.
- Calculate payments made to sub-contractors between the 6th – 5th of every month.
- Must be filed and paid to HMRC by the 19th of each month to avoid £100 penalty.
CIS Deductions Suffered
- Figures to be submitted to HMRC by the 5th of each month to ensure credit is available for CIS or PAYE offsets.
In summary, mastering these business timelines is crucial for a successful financial year. By keeping these dates in mind and meeting your obligations on time, you contribute to the smooth operation of your business. Stay organised, mark your calendar, and navigate the fiscal year confidently. It’s not just about hitting dates; it’s about simplifying the process for financial success.
If you need support with any of the above or just want to speak to a member of the team, get in touch today.