Save Money, Beat the December Price Increase!

Beat the price increaseWhere possible, Taxfile customers are urged to submit their records to Taxfile before December 1st 2014 so as to beat the price increases which will come into effect from that date. Taxfile has held its prices for several years now, and unusually long for our industry, however every so often we have to take stock and catch up with inflation and the ever-increasing costs of operating a business inside London. At time of writing, Taxfile customers still have time to submit their paperwork and records for professional tax and accountancy help – for example for tax returns – so can totally avoid the price increases this year if they act reasonably fast and get their figures and records etc. to us before December 1st. This will also avoid bottlenecks as we fast approach the busiest time in the tax year. Taxfile will also be sending out reminders to its active customer database.

** New – Early Bird Reduction **

* If you miss the December 1st deadline, don’t worry because we’re offering a 5% ‘Early Bird’ reduction on prevailing Taxfile prices if you submit all your records to us before the end of December.

Call 020 8761 8000, click here to contact us or book an appointment online.

Taxfile would like to thank its customers for their loyalty and custom throughout the years, and for their understanding when occasionally we have to make these increases so as to keep pace with the rising cost of operating in London.

(For tax returns, figures and records are required for the year ending 5 April 2014).

The Shocking Truth about Tax on the Poor

How much is taken in taxHave you ever wondered how much of one’s total income is taken up in tax? And I don’t mean just Income Tax. I mean in ALL taxes paid by ordinary taxpayers throughout the course of a year. Such a figure would need to take into account National Insurance (income tax in all but name, some might say), the insidious Value Added Tax or ‘VAT’ – which on its own is a hefty 20% tax on what is often already taxed money for most ordinary taxpayers, and don’t forget to include Council Tax and finally, of course, Income Tax itself.

Well, the answer may surprise you. Before seeing the answer, though, try The Guardian’s little quiz about this and see how you get on. There are only 8 questions, and for each you simply choose from 4 possible answers – so it’s quick to complete and, once submitted, you are immediately taken to a feedback page where you will be told how your answers compared to the average respondent and, more interestingly, what the correct answers were. It’s interesting to note that, in a joint poll by The Equality Trust and Ipsos MORI, nearly 70% of people drastically underestimated how much the poorest pay in tax, as a percentage of their total income. They also over estimated how much the richest pay as a proportion of total income. This wide misconception is due to most people incorrectly focusing only on Income Tax alone which, in reality, only makes up a small proportion of total taxes paid throughout the course of a typical year.

Spoiler alert: be warned that I’m shortly going to divulge the answers Read more

It’s official: thousands are on the wrong tax code!

With the tax return deadline being only hours away (midnight 31 January 2014) there is still time to get professional help if you need it – particularly because HMRC  often get it wrong according to new research by UHY Hacker Young.

In just one example, HMRC sent a tax bill to a pensioner which demanded over £576k in tax! With an income of only £11k per annum this was clearly incorrect but what if it had been only hundreds of pounds wrong – would the pensioner have noticed and, if so, would he have been confident enough to question it with the might of HMRC?

According to the research, HMRC employees have been making ‘basic’ errors which have led to problems such as people being on the wrong tax code and consequently underpaying or overpaying tax. While underpaying it may sound attractive on the face of it, chances are the system will catch up and then a correction will need to be made later on, leaving the taxpayer with an unforeseen bill to pay – a real blow for cashflow.

While the UHY Hacker Young research cites an error rate in 2013 of 37% in the sample tested, HMRC are arguing that the research is wrong and that their PAYE coding notices are 99% accurate. Either way, when you consider that Read more

Tax return help 7 days a week!

By midnight on 31st January 2014, you will need to have submitted your self-assessment tax return to HMRC and have paid them any tax due for the 2012-13 financial year. It doesn’t matter if you have zero tax to pay – you still need to submit your tax return on time or you will be hit with an automatic penalty of £100 (delaying even further can, in the worst case scenario, increase this fine to as much as £1,600).

In view of this, for the month of January you can get help 7 days a week from Taxfile in Tulse Hill, South London.

Our team of tax advisers and accountants can help you with your return whatever your employment status. We can help you register with HMRC if you are not already registered, check your form and help fill it in where necessary, make sure you’ve claimed for any allowable expenses to offset tax, make sure you haven’t missed anything or claimed for something you shouldn’t have claimed, compute any tax due (or due to be refunded), and submit your tax return on-line (the only option available this late into January – paper returns are already too late!). Read more

Received an SA302 form from HMRC?

If you’re ever wondering why you were sent form SA302 through the post, it will usually be for one of 3 reasons:

  1. if you sent in a paper tax return asking HMRC to calculate the tax for you;
  2. if you made an amendment to your paper tax return; or
  3. if you sent HMRC a paper tax return and they don’t agree with your calculations for tax.

You will also have received a covering letter explaining the period under scrutiny, the income tax due (or owed) for that tax year with a note of when it’s payable, an explanation of any changes made by HMRC to your figures and lastly information relating to any payments on account which may be required for the next tax year. Read more

Problems with your tax return?

  • Running out of time?
  • We’re here to help!
  • We know tax returns back to front!
  • We can deal with the HMRC for you.
  • Fixed fees from £160 + VAT.
  • Simply call us on 0208 761 8000

31st January Deadline

If you have not submitted your tax return to HM Revenue and Customs already, you must do it online by the end of this month.

If HMRC receive your tax return after 31 January you will be liable for a late filing penalty of £100.
But even if if you miss the deadline for your tax return, you will not have to pay the penalty if you pay all of the tax you owe by 31 January.
In some rare cases, you might still be allowed to send your return on paper after the October deadline when no software is available. This is the case for the following types of returns:

SA700 – Non-resident Company Tax Return
SA970 – Trustees of Registered Pension Schemes

According to HMRC, “Tax returns that are in an HMRC office letter box when it’s first opened on Tuesday 2 February or delivered to an HMRC office by hand on Monday 1 February will be treated as being received on the 1 February. You won’t have to pay a late filing penalty, but HMRC will have longer to start a check into the tax return – until 30 April 2011 rather than 31 January 2011”.

So if you have not managed to deal with your tax affairs so far, Taxfile’s tax accountants can still submit your tax return on your behalf at reasonable rates.

Hurry up and beat the deadline!

31st October Deadline

If you would like to send your tax return for the year ended on 5th April 2009 by paper, you would have to do it by the end of this month.

Very important to remember is that the tax return has to reach HM Revenue & Customs by Saturday 31st October.

If you send your return on paper the HMRC will calculate the tax liability to be paid or owed.

If the paper return arrives after this deadline you will be charged a £100 penalty.

According to HMRC, if you miss the deadline because of the postal strike you would not be liable for paying the £100 penalty as long as you post the return before the 31st October.

If you hand deliver your return on the 2nd of November, no penalty would be due either.

In case you miss the deadline you can always send your return online.

At Taxfile in Tulse Hill we submit all the returns online as it is safer and more secure, tax returns are processed faster, and there are later deadlines to meet.

Taxfile: 31st October 2008 deadline

The deadline for submitting the details of your income and gains on your Self Assessment Tax Return is still the 31st January. However HMRC has now brought in place a new “paper form” deadline this year to go with the new-style green forms, the final day for submission of these is 31st October.

Almost all tax returns can be submitted online,but there are a few cases where paper returns would need to be made. In these cases the deadline by which the paper return must reach HMRC is 31st January. These are:
•SA700 – Non-resident Company Tax Return
•SA970 – Trustees of Registered Pension Schemes
Paper returns that have failed to reach HMRC by 31st October will automatically be penalized with a £100 fine.
This is the same for partnership returns, although both partners will have to pay £100 each, and Late Trust and Estate returns result in a £100 charge to either the trust or estate.
If you still haven’t paid the balancing payment due by 31 January by the end of February, you’ll be charged an automatic 5% surcharge on top of the amount still owing. This is in addition to any interest payments.
At Taxfile we only submit your current tax return online as it has proved to be safer, faster and giving you more time.
At Taxfile we have been completing online returns for some time now, this benefiting our clients as they are able to gain extra time to gather all the necessary information to complete their tax returns.
If you have not submitted your tax return yet, come to Taxfile‘s offices in either South London or Exeter to ensure that you do not receive an automatic penalty of £100.

Taxfile will help you with tax & accounting

We thought it was about time to say a little about ourselves – TaxFile.

TaxFile can help with your accountancy and tax issues whether you are an individual needing help filling in your self-assessment tax return, are someone needing assistance with a tax rebate, or are a large organisation needing full accounts work and payroll services. So if you need professional tax help, just drop into the shop or contact TaxFile.