For most self employed people, their accounts and tax return are necessary in order to complete the majority of the boxes on their Tax Credit renewal pack. All Tax Credit claimants must renew their claim every year, by 31st July.
If you have not completed your accounts and tax return, you could complete the renewal pack using temporary, estimated figures. But you must update the Tax Credits Office with actual figures once you have drawn these up and it’s better to do this as soon as possible. Otherwise, you could risk being under- or overpaid for a long time, which in either instance would put a strain on your cashflow.
Alternatively if you have the time to draw up your accounts now, the Tax Credits Office have extended the renewal date to Wednesday 6th August for this year only, due to strike action by HMRC employees.
If you would like any assistance in preparing your accounts and tax return, please feel free to contact us and we can put you in touch with your local TaxAssist Accountants office.
By Jo Nockels
Disclaimer: Advice shared in this blog is intended to inform rather than advise. Taxpayer's circumstances do vary and if you feel that the information provided is beneficial it is important that you contact us before implementation. If you take, or do not take action as a result of reading this forum, before receiving our written endorsement, we will accept no responsibility for any financial loss incurred.