Why early filing of your tax return is good for you!
Were you among the many scrambling to get your tax return completed by 31 January?
Or, were you among those who breathed a sigh of relief when the deadline was extended to 28 February albeit it with interest being payable?
If you answered yes to either of these questions, you are probably feeling frazzled right now.
If doesn’t need to be this way.
Most sole traders benefit from using cloud-based software to help them manage their finances. By using packages such as QBO or Xero you have an instant handle on who owes you money, who you owe money to, how your profit and loss is looking at different points in the year – AND – all this information helps your bookkeeper or accountant finalise your accounts and submit your tax return any time after 6 April!
Why should you file early?
- By completing your return early it will allow you to plan for your next tax bill – no matter when you file, your bill won’t need settling until 31 January 2022. So helpful for you to manage your cash flow.
- If your earnings in 20/21 are less than those of 19/20 you may be able to reduce your July payment on account or you might not have anything to pay
- You don’t run the risk of being late and so you avoid late filing penalties
Why not try it? Get in touch today, we can get 20/21 cracked!