While it is not exactly the most festive of pursuits, this is the time of year when many companies and self-employed people must fill out their tax returns for the year.
With the January 31 deadline looming, HMRC has released a list of its favourite excuses given by those who failed to submit their tax return online.
It turns out some people were simply otherwise engaged, with a Coventry writer explaining he had been too busy touring his one-man show to fill out the forms.
Another man argued that he had not yet picked up any of the correspondence sent by HMRC due to sailing around the world on his yacht, while one London accountant said he had been too busy filling out his clients’ tax returns to complete his own.
A woman in London chose to watch the news before filling out her forms. Sadly, this proved to be a mistake, as she has claimed she was so distressed by a story about a volcanic eruption that she was no longer in the correct frame of mind to do the job.
Animals can also be to blame some people failing to submit their tax forms. A builder cited the death of his goldfish as an excuse, while in the Midlands one farmer asserted he was prevented from meeting the deadline thanks to a run-in with a cow.
Problems at home can also be a factor. A self-employed trader was foiled in his bid to get his hands on the necessary forms because his wife refused to hand over his mail. Elsewhere, a taxi driver was kept apart from his forms by a bad back, which prevented him from going upstairs to fetch them.
Perhaps best of all, a Kent financial services firm did not feel it necessary to complete a tax return because their business doesn’t really do anything.
How to make sure all partners pay the correct tax
While these are of course extreme examples, the fact is that all of these people were given a fine. Simply put, failure to complete a tax return is throwing money away, so it makes sense for you and your business partners to ensure the correct amount is paid.
Partnership tax rules change based on the structure of your business. Partners or members in partnerships and LLPs are treated differently for tax purposes.
For more information on taxes and how to avoid penalty fines, call Ralli Solicitors on 0161 832 6131.