GT urges online filers to submit self-assessment returns early

As the 31 January tax return deadline approaches, tax experts have warned people not to file online at the last minute in case HMRC's systems crash.

Francesca Lagerberg, tax chief at Grant Thornton, said: "A record number of taxpayers are expected to file online this year, an increase of 5.8m compared to last year.

"Those who plan to file online should ensure they have prepared the relevant documentation and have not left it too late to avoid being caught up in the last minute rush. HMRevenue & Customs' servers have been known to crash due to the increased number of people who will be filing online."

Those expected to to submit an online self assessment tax return for 2008/09 by the 31 January include anyone who is self-employed, who receives income from more than one source or who is a higher-rate taxpayer.

The deadline for filing a paper tax return was 31 October 2009 and those who send a paper tax return may now incur a £100 penalty.

"The deadline this year falls on a Sunday." Lagerberg added.

"This does not mean that HMRC will be less strict in handing out fines. Last year an estimated one million people had to pay the taxman £100 for a late submission. In the current economic climate it would be a shame to incur an easily avoidable £100 penalty,"

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New online filers can register here