When it comes to tax, sticking to the defined filing deadlines will help you to keep your business on track financially and avoid incurring potentially costly penalties. But what happens when unexpected circumstances arise?
Can I get a tax extension?
All businesses are required to send financial accounts to Companies House annually, and it is best practice to take all reasonable steps towards filing your accounts on time. In many instances, automatic penalties apply for late submissions, but if something unexpected has occurred, you may want to consider applying to extend your deadline.
During the application process to extend your deadline, you will need to be prepared to supply your company number as well as the reasons why more time is required. We recommend clearly stating the events that have occurred that will cause you to miss the deadline and set out how much additional time you will need in order to make your filing submission.
Your application will then be reviewed and a decision will be made as to whether your request has been approved or denied.
Keeping on top of your financial records
Keeping on top of your financial records is an essential component of responsible business management, but it isn’t reasonable to assume that you can handle everything single-handedly. So, to ensure that your business remains on track financially, you may wish to work with a team of professional accountants Bath, such as Chippendale and Clark.
Understanding when any tax you owe will need to be paid and giving yourself hard deadlines will ultimately help you to keep on track with your record keeping. Crucially, it is important to understand that your corporation tax bill will need to be paid nine months and one day following the end of your accountancy period.
If your company’s financial year finishes on 31 May, your Companies House accounts will need to be filed by the end of February the following year. Your tax bill will then need to be paid, so it is important that you have the money set aside to make this payment on time.
