New figures released by HMRC show that thousands of taxpayers chose to spend part of the festive period tackling their Self Assessment tax return.
More than 4,600 returns were submitted on Christmas Day alone, with a total of 37,435 filed between Christmas Eve and Boxing Day.
Although this level of activity may seem surprising, it actually represents a fall compared to the previous year, when over 40,000 returns were filed across the same three-day period.
Even so, HMRC has confirmed that a significant number of people still have work to do. Around 5.65 million taxpayers are yet to submit their Self Assessment return ahead of the final deadline on 31 January 2026.
With the clock ticking, HMRC is urging anyone who may struggle to meet the deadline to make contact as early as possible.
Taxpayers who have a reasonable excuse for missing the deadline will generally be treated fairly.
However, those who fail to file on time without a valid reason can expect an automatic £100 penalty. This applies even if there is no tax to pay or if the tax owed is settled on time.
Further penalties apply the longer a return remains outstanding. Returns that are more than three months late can attract daily fines of £10, capped at £900.
After six months, an additional charge of five per cent of the tax due or £300, whichever is higher, may be imposed.
A further penalty of the same amount can apply once the return reaches t12months overdue.
The end of January is not just about paperwork. It is also the deadline for paying any outstanding tax for the 2024/25 tax year, along with the first payment on account for 2025/26.
Late payments can result in penalties of five per cent of the unpaid tax after 30 days, six months and 12 months, with interest charged on top.
For those who cannot afford to pay in full, HMRC may agree to a Time to Pay arrangement, allowing liabilities to be spread over a longer period, typically up to t12 months, although interest will still apply.
Looking further ahead, taxpayers should also be aware of upcoming changes. From 6 April 2026, the Making Tax Digital regime for Income Tax will apply to individuals with qualifying income over £50,000 based on the 2024/25 tax year.
