The Ultimate Guide to UK Tax Deadlines for Companies and Sole Traders

Introduction

Understanding and meeting tax deadlines is crucial for companies and sole traders in the UK. Missing a deadline can lead to penalties, interest charges, and unnecessary stress. This guide covers all the important tax deadlines for UK businesses, from self-assessment and corporation tax to VAT and PAYE. Whether you’re a sole trader or a company director, keeping track of these dates ensures your business stays compliant with HMRC regulations.

1. Key Tax Deadlines for Sole Traders

Self-Assessment Tax Return

Sole traders must file a self-assessment tax return each year to report their income and pay tax on profits.

  • 31st October: Deadline for paper tax return submissions.
  • 31st January: Deadline for online submissions and payment of any tax owed for the previous tax year.
  • 31st July: Second payment on account for the next tax year.

Failing to meet these deadlines can result in penalties starting at £100 for late submissions, which increase the longer the delay.

2. Key Tax Deadlines for Limited Companies

Corporation Tax

Corporation tax is due on a company’s profits, and companies must file a corporation tax return to HMRC. Key deadlines include:

  • 9 months and 1 day after the accounting period ends: Deadline for paying corporation tax.
  • 12 months after the accounting period ends: Deadline for submitting the corporation tax return (CT600) to HMRC.

Failure to file on time can lead to penalties based on the lateness of the return, with interest applied to any unpaid tax.

3. VAT Deadlines for Companies and Sole Traders

Businesses that meet the VAT threshold (currently £85,000) must register for VAT and submit VAT returns to HMRC. VAT deadlines depend on your filing frequency:

  • Quarterly: VAT returns are usually due 1 month and 7 days after the end of each quarter.
  • Annually: Some businesses may file VAT returns annually but make advance payments throughout the year.

4. PAYE and National Insurance Deadlines for Employers

If your company employs staff, you’ll need to submit PAYE and National Insurance contributions:

  • Monthly PAYE submissions: Must be submitted to HMRC by the 19th of each month (or the 22nd if filing online).
  • Quarterly payments: Due 1 month after the end of each quarter if your total payments are under £1,500 per month.

Conclusion

By keeping track of these key tax deadlines for sole traders and companies, you can avoid penalties and stay compliant with HMRC. An accountant can help you stay organized, ensure deadlines are met, and manage tax filings efficiently.