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In response to a request by TaxationWeb for help and guidance for those in our taxpayer community who may have fallen behind with their tax affairs, HM Revenue & Customs (HMRC) has produced the following article to assist.

Introduction

Are you self-employed or running your own business? Do you find tax issues daunting? Whether you’re a potential entrepreneur or someone who freelances to make ends meet, it is important that rather than hide your head in the sand you get in touch with HM Revenue & Customs (HMRC). This will not only dispel some myths but will prove an invaluable source of free information.

What help is there?

HMRC can help you understand what records you need to keep, how to complete your tax returns and how to pay National Insurance. You can get the latest information and find the answers to most questions on our website at www.hmrc.gov.uk. If you need to speak to someone, you can call a helpline or make an appointment to see an adviser at your local tax office. All help from HMRC is free.

HMRC holds regular workshops and business advice days throughout the UK where you can speak to an expert. HMRC also has its own network of advice teams that aim to make everything that is tax-related as hassle free as possible. There are special workshops that introduce you to the tax basics, National Insurance, VAT, how to complete your self assessment form, record keeping and important dates in the tax year.

Are there dates I need to remember?

If you are doing your own tax returns, the date you need to remember is 31 January for online returns. The tax year always runs from 6 April to 5 April of the following year. All employers also have to file an end-of-year return, giving details of the tax and NICs paid by their employees. The returns must be filed by 19 May each year. From 2010, all those who are newly registered for VAT, or who have an annual turnover of £100,000 or more, will have to file their returns online and pay electronically.

Is online filing safe?

Online filing has never been easier. It’s simple, secure and convenient. As HMRC is constantly improving and updating its system this is proving a popular tool of communication. Online forms are processed much faster than those sent in on paper, and many calculations are worked out automatically as you complete the form. There are no postal delays to worry about and there is on-screen information reducing the risk of error, so that you are less likely to have your return sent back for correction. You can submit tax and PAYE returns online, submit declarations, view statements and, if needed, amend information.

What if I need help?

All of HMRC tax contact centres have trained professionals who are available to help you with your personal Self Assessment and, if you are an employer, your PAYE.

The first thing you should do is call the helpline. If this does not resolve things, they will be able to arrange an appointment with an adviser in your local Enquiry Centre.

What happens if I am late?

Penalties are charged for late filing of returns, but if you are having problems meeting a deadline or have already missed it, contact HMRC as soon as possible. Apart from probably making you feel a whole lot better, HMRC has the resources to help you sort it out.

How will I know what number to call?

If you are:

• Newly self employed call 0845 900 0444 or click on Self Employed
• Self Assessment – to learn more call 0845 900 0444 or go to Self Assessment
• Online services call 0845 6055999 or visit www.hmrc.gov.uk and click on the “do it online” menu.
• Why not watch the video version of ‘The Start Up Diaries’ where three different people are followed as they start up their own business at Business Help
•  Fancy booking yourself on a course? More information can be found at HM Revenue & Customs Advice Teams or just pick up the phone and call 0845 603 2691.