HMRC records festive tax return frenzy

According to the latest statistics from HMRC, more than 4,600 Self Assessment taxpayers completed and filed their tax return on Christmas Day.

They were part of the 37,435 people who submitted returns between Christmas Eve and Boxing Day, as HMRC once again revealed figures for festive filing.

While the numbers may seem high, they were down on the previous year, when HMRC received 40,072 returns over the same three-day period.

Despite this rush, HMRC has confirmed that 5.65 million people still need to file their Self Assessment tax return before the final deadline of 31 January 2026.

HMRC has said that any taxpayer who is unable to complete their 2024/25 tax return before the 31 January deadline should contact the tax authority as soon as possible. Those with a reasonable excuse will be treated fairly. However, anyone without a valid excuse may face an automatic £100 fixed penalty, even if there is no tax to pay or the tax due is paid on time.

If a return is three or more months late, additional daily penalties of £10 apply, up to a maximum of £900. After six months, a further penalty of five per cent of the tax due or £300, whichever is greater, will be charged. After twelve months, an additional penalty of five per cent of the tax due or £300, again whichever is greater, may apply.

The 31 January deadline also marks the date for paying any outstanding tax for the 2024/25 tax year, as well as the first payment on account for the 2025/26 tax year.

Late payment penalties may apply at five per cent of the unpaid amount after 30 days, six months, and twelve months. Interest will also be charged on any outstanding balance.

If you are unable to pay what is due, HMRC may be able to help through a Time to Pay arrangement, allowing tax to be paid over a longer period, typically up to twelve months, subject to interest.

Looking ahead, 2026 marks a significant change in how Income Tax is reported in the UK. From six April, the Making Tax Digital regime will apply to individuals with qualifying income over £50,000 in the 2024/25 tax year.

If you need support preparing for this change or have concerns about meeting filing or payment deadlines, please get in touch.