Due to COVID-19 there have been a number of deadline date changes and extensions introduced by the relevant governments for companies’ and individuals’ statutory filing obligations. Below is a summary of all the major changes to these dates, both in the UK and IOM.
Annual confirmation statements (UK) or Annual Returns (IOM)
In the UK, these are normally due for filing to the UK Companies House 1 year and 13 days after each anniversary date of the company’s incorporation. Therefore, if your company was incorporated on the date of 1st May (e.g. 2019), the normal deadline for filing this year would be 14th May 2020.
In the IOM, these normally fall due for filing to the IOM Companies Registry 1 year and 1 day after anniversary date of incorporation. In the above example, due date would be 1st May 2020.
However due to COVID-19, the UK Companies House can receive requests for an extension if your company has been affected, and a maximum of 3 months’ extension can be granted. All requests will however be treated on a case-by-case basis. If you require an extension, you must request before the normal deadline date.
In the IOM, there have been no announcements regarding deadline extensions for these. If you require any extension, this will have to be specifically approved by the IOM Companies Registry through normal channels and processes before the usual deadline date has passed.
Company annual accounts
In the UK, annual accounts are normally due for filing to the Companies House 9 months after your company’s financial year-end, therefore if the year-end is 31st August 2019, the deadline for submission would be 31st May 2020.
Similar to the annual confirmation statements, a deadline extension can be requested if your company has been affected and provides good reason for the request. A maximum of 3 months’ extension may be provided. You must apply for the extension before your filing deadline.
Company annual tax returns
In the UK, these are filed with HMRC, and the deadline is normally 9 months after the company’s financial year-end. In the IOM, these are filed with the IOM Tax Division and the deadline is normally 12 months after the companies year-end.
Requests can be sent as well for an extension to filing deadline if you have been affected by COVID-19, however these requests must be sent before that deadline date has passed and reasons are usually required in support of the extension request.
Most companies are on a quarterly VAT system. These are submitted to HMRC (UK) or Customs & Excise Office (IOM).
In the UK, the normal deadline for filing a return, and also paying for any VAT liability that is calculated, is normally 1 month and 7 days after the end of the relevant quarter. For example, if your VAT quarter-end date is 30th April 2020, deadline for submission and payment to HMRC is normally 7th June 2020.
In the IOM, normal deadline is 30 days after quarter-end date, which means in the above example, deadline date would be 31st May 2020.
In both the UK and IOM, extensions to deadlines due to COVID-19 have not changed with regards to the submission of the VAT return, however all VAT registered companies have been given a deadline extension to 31st March 2021 for the payment of VAT liabilities that accumulate between 20th March 2020 and 30th June 2020. This means that all quarterly VAT returns for example which were, or will be, submitted on 7th April, 7th May or 7th June in the UK, will still need submit their VAT returns by these dates, however they can defer payment of VAT until 31st March 2021. The same apply to the IOM. Note however that this deferral does not remove the liability for the VAT, but it just delays the date by which the payments are to be made to end-March 2021 with no interest or penalties being imposed.
EC Sales List
The usual deadline for submission of EC Sales List to HMRC (UK) or IOM Tax Division (IOM) is within 21 days after the end of the relevant month or quarter depending on the scheme you register with HMRC.
No deadlines extensions due to COVID-19 were granted with regards to this by HMRC or the IOM Government. Note that there is no payment that usually becomes due on submission of these to relevant tax authorities. This is rather just a declaration of the value of goods or services you supplied to an EU country if you are VAT registered.
Self-assessment personal tax returns
The tax year-end is 5th April 2020 for all UK tax resident individuals, and the deadline for submission of self-assessment tax returns to HMRC is normally 31st October 2020 for paper tax returns, or 31st January 2021 for online tax returns. Details on who should submit a self-assessment to HMRC have been mentioned in our previous article (https://www.invicta-accounting.com/blog-post/self-assessments-what-you-need-to-know/). Payment for the tax you owe to HMRC has the deadline date of 31st January 2021.
There are no deadline extensions due to COVID-19 for both the submission and the payment of self-assessment tax returns. Note however that there are some taxpayers who are registered to make advance payments to HMRC, where they tax bill payments are split into 2 payments; the first payment on account being on 31st July 2020 and the second being by 31st January 2021. The deadline for the payment due on 31st July 2020 has been extended to 31st January 2021 due to COVID-19.
The tax year-end date is 5th April 2020 for all IOM tax resident individuals, and the deadline for submission of self-assessment tax returns to Tax Office is normally 6th October 2020 for both paper and online tax returns. Payment for the tax you owe to the IOM Tax Office has the same deadline date (6th October 2020).
Due to COVID-19, the IOM Government has extended the deadline date for all resident taxpayers to 6th November 2020 for the submission of the tax returns, and payment thereof.
PAYE or ITIP and NI payments
PAYE/NI declarations are made monthly via a system called RTI (“Real-Time-Information”) which means that every month (or week if you have weekly paid employees), all employers should submit PAYE and NI declarations monthly (mainly through their payroll system automatically linked to HMRC) before or on the day salaries are paid out to employees. Payment for that month’s PAYE/NI liability is due by the 22nd of the month for tax month ending on the 5th of that month. For example, if monthly salaries are paid on 25th April 2020, this falls in the tax month that ends on 05th May 2020. Therefore PAYE/NI declarations should be submitted via RTI on the day salaries are paid out (25th April 2020), and payment of the liabilities should be made by 22nd May 2020.
For deadline extensions relating to COVID-19, requests can be submitted to HMRC for deferral of payments of the liabilities, with reasons backing the requests. Requests will be dealt with on a case-by-case basis and HMRC will notify you of how long the deferral will be in your specific situation. Note also that if your request for payment deferral is approved, this does not remove the liability but rather delays the payment thereof without the consequence of interest and penalties.
ITIP/NI monthly declarations (known as remittances) should normally be submitted and paid for by the 19th of the month for the tax month ending the 5th of that month. In the above example, remittance would normally be declared and payable by 19th May 2020.
COVID-19 related extensions requests can be made to the IOM Tax Division, with similar requirements as those stated above for the UK.
Employer Annual Return
These are more specific to the IOM, as the UK rather uses the RTI system.
Over and above the ITIP/NI monthly declarations, IOM employers must also submit an Employer Annual Return (referred to as a T37), declaring the total of the ITIP and NI payments made during the year, reconciling them to the deductions made from employees’ salaries per their payslips. The deadline for this usually the 5th May 2020, however due to COVID-19, this has been extended to the 5th June 2020.
What can Invicta do for you?
To remove the administrative work and the burden of worrying about all the deadline dates, normal or extended, Invicta has systems and processes in place to ensure all your returns and statutory filings are submitted on time. We can also provide tailored advice on the measures that have been put in place that are best suited and relevant for your business needs especially during these difficult times.
Call us on 01624 672 358 or email us at firstname.lastname@example.org if you require further information.