Nov 21
5 reasons to file your tax return early
No one wants to be thinking about January before Christmas! But before Christmas might actually be the perfect time to complete your tax return and get your tax affairs up to date especially if you’re expecting to be in a refund position or your income is fluctuating from year-to-year. And next year think about this by filing in June or July!
Read Sage & Co’s Top 5 reasons to file your tax return early and why it can pay to do so
- You can claim your tax refund early
If you are due a rebate, you won’t have to wait until deadline day to claim back tax that is owed to you!
- You won’t have to pay tax earlier
Just because you have filed your tax return early, doesn’t mean you have to pay early! However, knowing the sum you will need to pay back in advance des give you the extra time to budget and save!
- Avoid fines and penalties
If you pay your tax bill late, HMRC will charge you interest and possibly even late payment penalties. HMRC have changed the penalty regime for late tax returns, and they are now significantly more than they used to be. For example, the initial £100 penalty used to be reduced if you paid the tax on time or was capped to your tax liability. But the £100 penalty is now automatic.
- Tax credits
Don’t know if your tax bill will affect your tax credits? Avoid having to pay any benefits back (or miss out on any due) by letting the Tax Credit Office know your actual figures.
- Peace of mind
Many people do not like completing their tax return. Filing now, gives one less thing for you to think about and peace of mind to plan your cash flow for the year!


