What happens next if you’re one of them? Around one million taxpayers missed the 31 January deadline for submitting their 2024/25 self-assessment tax return. HMRC data shows just how last-minute things were for many people. More than 27,000 returns were filed in the final hour , with 475,722 submitted on the final day alone . In total, around 11.5 million returns were filed. Even with extended helpline hours and webchat support, a significant number of people still didn’t make the deadline. What happens if you miss it? If you missed the deadline, the first thing to know is that a £100 fixed penalty is applied automatically . This applies even if: You don’t owe any tax You’ve already paid what was due From there, the penalties can increase quickly if the return remains outstanding. How penalties build up If your return is still not submitted: After 3 months: £10 per day (up to £900) After 6 months: £300 or 5% of the tax due (whichever is higher) After 12 months: another £300 or 5% charge On top of that, late payment penalties may apply: 5% of unpaid tax after 30 days Another 5% after 6 months Another 5% after 12 months Interest is also charged on any overdue amounts. Who needs to file a self-assessment return? Self-assessment generally applies if you have income that isn’t taxed automatically through PAYE. That can include: Self-employment income over £1,000 Rental income from property Other untaxed income streams Can penalties be appealed? HMRC has confirmed it will review cases where there is a reasonable excuse for missing the deadline. However, in most cases, the practical advice is: Submit the return as soon as possible Pay any initial penalties promptly Even if you plan to appeal, dealing with it early can prevent further charges from building up. Final thoughts Missing the deadline is more common than people think, but leaving it unresolved is where the real cost starts to build. If you’ve missed the deadline or you’re not sure what to do next, it’s worth getting it sorted sooner rather than later. If you need help with your self-assessment, I’m always happy to have a straightforward conversation.

Most businesses don’t change accountant because something dramatic goes wrong. They change because, quietly, something no longer fits. In the early years of a business, the priorities are usually straightforward. You need someone who files everything correctly, keeps you compliant, and answers tax questions when they arise. That’s valuable. Compliance matters, and getting the basics right is essential. But businesses that grow often reach a stage where compliance alone isn’t enough . The business becomes more complex. Decisions carry more weight. And the numbers need to do more than simply confirm what already happened. The common signs A lot of business owners don’t immediately recognise the shift. It tends to show up in small ways. For example: You only hear from your accountant near deadlines. Your year-end accounts feel like history rather than insight. You’ve never had a detailed conversation about margin. Cashflow still surprises you from time to time. Your pricing hasn’t been challenged in years. Most decisions are still made on instinct because the numbers don’t quite answer the question. None of these necessarily mean your accountant is doing a bad job. Often it simply means your business has reached a different stage . What growing businesses usually need next Established owner-managed companies typically start to need a slightly different type of financial support. Things like: Management information that informs decisions , not just compliance reports. Clear visibility of gross margin , rather than just turnover figures. Forecasting , so issues are spotted before pressure builds. Regular conversations about structure, profit extraction and growth plans . The difference is often subtle. The conversation shifts from: “Have you filed your VAT?” to something closer to: “What’s happening to margin in this part of the business?” When the conversation needs to evolve For many businesses, the turning point isn’t dramatic. It simply feels like the financial side of the business hasn’t evolved at the same pace as everything else. If the business feels more complex than it did a few years ago, but the financial conversations haven’t changed, it may be worth reviewing the level of support you receive. A straightforward conversation Sometimes, a small shift in the way financial information is presented (or the conversations around it) can make a significant difference to how confidently you run the business. If any of this sounds familiar, I’m always happy to have a straightforward conversation about where your business is now and whether your financial reporting is keeping pace with it. You may also be interested in If Your Management Accounts Don’t Change Decisions, They’re Not Working This article looks at how management accounts should provide real insight (not just historical reporting) and why growing businesses often need better visibility of margin, cashflow and performance.