Self Assessment is a calculation of one’s own income tax. Where as HMRC take tax directly (in the form of PAYE) from wages and pensions, certain tax payers must also report on their earnings in the form of a tax return and their tax is derived from profit they personally receive (excluding profits earned from savings, renting out a property etc. where Capital Gains Tax is applicable)
The deadline for sending in your Self Assessment tax returns is 31st January and you will be required to file returns if, in the last year, you were a sole trader, company director or if you have had the potential for greater earnings.
For many taxpayers, particularly the self-employed, a dramatic change in circumstances can cause financial difficulties, often severe.
This can then create a knock on effect, leaving you not only missing payments to your credit commitments but also to priority debts such as your mortgage; this in turn, can then lead to the late payment of taxes.
Tax bills are a legal priority and are amongst the main debts people struggle with when they have had a financial problem occur. Many people find it difficult to budget when they have lost an income source or when a regular income decreases.
By contacting Tax Debts, you may be able to spread the cost of an outstanding Self Assessment liability over 6 months – 5 years, dependent on your current circumstances.
Get a free, no obligation consultation from one of our advisor’s today and we can determine the best solution to your situation from a variety of options, all tailored to you and your personal/business requirement.