It could be a Halloween tax nightmare for some of the UK’s small businesses, who risk missing a trick by failing to hit the 31 October deadline for returning self assessment paper tax returns
A Receipt Bank survey of over 500 small businesses found 27% admit to missing tax deadlines, while one in three (34%) leave filing to the last minute and 18% admit to not processing all of their tax-deductible paperwork with HMRC.
A third of all UK SMEs (34%) believe dealing with financial admin prevents them from focusing on growing their business.
Half (50%) dislike processing receipts and 38% say that processing financial paperwork and invoices is stressful. Over a fifth (21%) said financial management and reporting deadlines have kept them awake at night.
Adrian Blair, CEO at Receipt Bank said: ‘Two things are holding back British business: wasting time on manual admin and overpaying on tax. Small British businesses are spending 120 hours a year on finding and filing their financial paperwork - leading many to lose control of their balance sheet and 27% to give up more money than needed to the taxman because they’ve missed deadlines.’
The deadline for paper self assessment tax returns is 31 October. For online tax returns, it is 31 January 2020. Failure to file on time results in a £100 penalty.