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With the Christmas rush around the corner, the 31 January deadline can feel a long way off. But for many people, the 2025/26 Self Assessment tax return (for the tax year 6 April 2025 to 5 April 2026) is best dealt with now. Filing early doesn't mean paying early, and it can save you money, stress and a few surprises in the new year.

What are the key Self Assessment dates?

• 30 December 2026: The deadline to file online if you'd like any tax you owe (under £3,000) collected through your PAYE tax code.
• 31 January 2027: The deadline to file your 2025/26 return online and pay any tax you owe, including your first payment on account for 2026/27.
• 31 July 2027: The deadline for your second payment on account for 2026/27.

The deadline for paper returns (31 October 2026) has already passed, so if you haven't filed yet, you'll need to file online. You can check the details on HMRC's Self Assessment deadlines page.

Why should I file early?

• Know what you owe: Filing now tells you exactly how much is due on 31 January, giving you two months or more to budget for it rather than finding out in January.
• Pay through your tax code: If you're employed or receive a pension, owe less than £3,000 and file online by 30 December, HMRC can usually collect the tax through your tax code over the following year, instead of in one lump sum. You can read more on paying through your tax code.
• Get a refund sooner: If you've overpaid, filing early means you'll get your money back sooner.
• Time to gather paperwork: Chasing missing bank statements, P60s or rental figures is far easier in November than in the last week of January.

What are payments on account?

Payments on account are advance payments towards your next tax bill. Each one is usually half of the previous year's bill, and they're due on 31 January and 31 July. You don't have to make them if your last bill was under £1,000, or if more than 80% of your tax was already paid at source, for example through PAYE.

Worked example: Sarah, a self-employed consultant, has a 2025/26 tax bill of £6,000 and paid no payments on account last year. By 31 January 2027 she must pay the full £6,000 plus a first payment on account of £3,000 for 2026/27, a total of £9,000. A further £3,000 is due by 31 July 2027. If her income has fallen, she can ask HMRC to reduce her payments on account, but if she reduces them too far she'll be charged interest on the shortfall. Find out more about payments on account on GOV.UK.

What happens if I miss the deadline?

• Late filing: An immediate £100 penalty, then £10 a day after three months (up to £900), with further penalties of 5% of the tax due or £300, whichever is greater, at six and 12 months.
• Late payment: Penalties of 5% of the unpaid tax at 30 days, six months and 12 months.
• Interest: HMRC charges late payment interest on top, currently 7.75% a year and rising to 8% from 24 November 2026, so even a short delay can add up.

Full details are on HMRC's penalties page. If you can't pay in full, HMRC may let you set up a payment plan, but it's best to talk to us before the deadline.

Is Making Tax Digital relevant to my return?

If you're a sole trader or landlord, Making Tax Digital (MTD) for Income Tax may already apply to you, or it may start soon, depending on your income. Your 2025/26 return is a good chance to check where you stand and make sure your record keeping is ready.

How We Can Help

At Pomroy Associates, we can:

• Prepare and file your return: We'll complete your 2025/26 Self Assessment return accurately and well ahead of the deadline.
• Check your tax bill: We'll make sure you're claiming every allowance and expense you're entitled to.
• Review your payments on account: We'll advise whether they can safely be reduced.
• Help with cash flow: We'll explain what's due and when, so there are no surprises in January.
• Get you ready for MTD: We'll help you choose software and keep digital records.

Don't leave it until the last minute. Contact our Stevenage office on 01438 362959, our Welwyn Garden City office on 01707 377057, or email info@pomroyassociates.co.uk, and let us take care of your tax return for you.

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