Two decades after HMRC took its first step into the digital age with the birth of electronic self assessment, the tax authority is reminding taxpayers to complete their online tax return ahead of the 31 January deadline, although the introduction of simple assessment will see fewer people pulled into the system
In 1997, the then Inland Revenue introduced an electronic option for tax returns. Agents were sent floppy disks to help complete their self assessment which were then returned to the department. This year, more than 10 million people are expected to complete their tax return online.
In September, HMRC removed the need for some taxpayers to complete a tax return at all, as part of a move towards simple assessment notification. Under this regime, HMRC will use data it already holds to calculate how much tax is owed.
The change is starting with two groups. These are new state pensioners with income more than the personal tax allowance in the tax year 2016 to 2017, and PAYE taxpayers, who have underpaid tax and who cannot have that tax collected through their tax code.
All existing state pensioners, who receive state pension over their personal allowance, who have received a notice to file a self assessment for the tax year 2016 to 2017 should complete their return as usual. They will be taken out of self assessment for the next tax year, 2017 to 2018, and will receive a simple assessment notification instead.
HMRC now has online webchats, live webinars, YouTube videos and social media support for taxpayers which can be accessed at any time, and on any device, to help them fill in and file their returns.
Angela MacDonald, HMRC director general of customer services, said: ‘Today, completing your self assessment via your personal tax account can be done anywhere or at any time; on the bus, in a coffee shop or while watching TV, using your phone, a tablet or a computer. With our videos and webinars with hints, tips and live support it’s now easier than ever before.
‘The deadline for returning your self assessment, and paying any tax owed, is 31 January 2018 - do it now and enjoy the festive period.’
HMRC’s self assessment support is here.
Report by Pat Sweet
