Feb
08
2011
February 'could pose debt risks to the self-employed'
Posted by Sarah Putt
Self-employed workers with an umbrella company have been told that February could pose further debt risks.
The Low Incomes Tax Reform Group said that while most people assume this month to be quiet after the January 31st deadline for online tax returns, it could also be a period where contractors are hit with unexpected costs.
"This month, HM Revenue and Customs (HMRC) will issue the £100 penalties for late self-assessment tax return submissions, which could place a significant strain on those who are already struggling as a result of the economy," it advised.
Furthermore, interest payments will start to be levied on those who were unable to pay the full amount of tax owed by the end of last month.
According to figures from HMRC, 572,455 people filed their self-assessment tax return online on January 31st this year, which was recorded as the busiest day for web returns.
Self-employed workers with an umbrella company have been told that February could pose further debt risks.
The Low Incomes Tax Reform Group said that while most people assume this month to be quiet after the January 31st deadline for online tax returns, it could also be a period where contractors are hit with unexpected costs.
"This month, HM Revenue and Customs (HMRC) will issue the £100 penalties for late self-assessment tax return submissions, which could place a significant strain on those who are already struggling as a result of the economy," it advised.
Furthermore, interest payments will start to be levied on those who were unable to pay the full amount of tax owed by the end of last month.
According to figures from HMRC, 572,455 people filed their self-assessment tax return online on January 31st this year, which was recorded as the busiest day for web returns.