Small businesses urged to complete tax returns on time

A business organisation has strongly advised small firms to file their tax returns as early as possible in order to avoid disruption and possible fines.

With the January 31st deadline looming, the Forum of Private Business (FPB) urged companies not to leave their submissions until the last minute, as there is traditionally a backlog in the final few days, with employees at HM Revenues & Customs (HMRC) struggling to process the large volume of forms.

The situation could become particularly complicated this year, the FPB said, as some HMRC staff are due to go on strike several days before the deadline in protest against job cuts and office closures.

"We are advising our members to prepare their tax returns as early as possible this year so that, if any difficulties are experienced, there is time to sort them out before the deadline," explained Philip Moody, senior member services representative at the FPB.

Mr Moody also reminded small business owners that they can speed the process up by submitting their documents online. Firms that fail to meet the deadline could be hit with a fine and interest payable on overdue tax.

The FPB was founded in 1977 and is based in Knutsford, Cheshire.