10 financial dates every business owner should know
Ten financial dates that every business owners must be aware of:
1. Company Year End
If your business is incorporated, you are probably aware of your Company Year End date. Your income and expenses in the 12 months leading up to this date will form the basis of your annual accounts.
2. Corporation Tax Due Date
Unlike other taxes such as Income Tax or VAT - where the filing and payment deadlines are usually identical - the deadline to pay Corporation Tax is before the deadline to file your Company Tax Return. Typically, you have 9 months to pay your Corporate Tax bill after the end of your accounting period and 12 months to file the Return.
3. PAYE Deadlines
If you operate PAYE there are several dates to get your head around. Check these out in detail at www.hmrc.gov.uk/paye/endtaxyear-checklist.htm and make sure you have matters in hand.
4. 31st October - Income Tax
Whether you’re a company director or self employed it is likely you will have to complete a personal tax return. If you prefer traditional methods, and want to fill out a paper form, these are now due by 31st October. HM Revenue & Customs (HMRC) will work out how much tax you owe in time for you to make a payment by the following 31st January.
5. 31st January - more on Income Tax
Submit your tax return online and you enjoy a further three months to get all the information together. Don’t leave it too late as you will need to get security details first, which can take a number of days.
6. 5th April
Whether you’re self employed or employed, you need to plan for the end of the tax year on 5th April. If you’re self employed, this will be the deadline to get those pension contributions paid.
7. Company House Annual Return
If you’re incorporated, you will also need to remember to file an annual return with Companies House. Be aware that this may not be the same date as your Company Year End and late returns incur penalties. Check your return date online at wck2.companieshouse.gov.uk
8. VAT Returns
Make sure HMRC receives your VAT Return and any VAT owed on time. This is usually one month after the end of your VAT period which is typically quarterly. You may get up to seven extra days for your return and payment if your return shows net VAT to be paid to HMRC and you pay the amount electronically.
9. Insurance Renewals
It doesn’t matter what type of work you do, most businesses need some kind of insurance. Make sure you leave yourself enough time before these renew to shop around to check you are getting good value for money. Otherwise, you may find yourself locked in for another year.
10. Licence Renewals
A world of red tape means that you may have several licences that need renewing each year. For instance, not many businesses can get away without storing customer information. If you need a Data Protection Licence, make sure it gets renewed each year, or you may not be able to trade.
