Martin Lewis warning to anyone earning over | European Markets

Cash saving skilled Martin Lewis has issued a warning to anybody who has earned more than £10,000 by means of financial savings curiosity previously 12 months – as you can face a high-quality and penalty for those who don’t take motion.

The founder of Cash Saving Professional, returning on a debt-buster particular of The Martin Lewis Cash Present Stay on ITV1 and ITVX, urged people who fall into one of a number of classes that time is quickly operating out to pay HMRC the tax you owe with out being fined.

That’s as a result of there are a number of teams of people within the UK, totalling 3.8M, who’re liable to submit a self-assessment tax return to His Majesty’s Income and Customs earlier than January 31 who nonetheless haven’t accomplished so.

That features those that have earned an excessive amount of financial savings curiosity, those that earn over £150,000 and a few greater earners who claimed Youngster Profit.

Martin Lewis instructed his ITV viewers: “Tax return deadline is a-coming. It is at the end of the month, 31st of January, so it’s for the tax year 2023 to 2024.

“I spoke to HMRC today, there were 5.4M people who hadn’t done it at the beginning of the month, there are still 3.8M people who need to do it who haven’t done it, that is a lot of people, people.

“So do not delay it, the phone lines get busier it gets tougher if you have a problem.

“If you have a self-assessment tax return to do, get it done. It’ll make your life easier.”

Martin Lewis says that ‘anyone who’s been instructed by HMRC they need to do it, must do it’.

But additionally, those that are self-employed and haven’t instructed HMRC, those that have over £10,000 in financial savings curiosity and those that earn over £150,000 a 12 months.

Martin continued: “If you’ve got over £10,000 in savings interest, that’s a lot of interest, you need to do one.

“If you earn over £150,000, you need to do one, and if you earned over £50,000 in that tax year, remember the threshold is higher now but this is for the 23/24 tax year, and you got Child Benefit, you need to do a self-assessment.

“So for millions of people who don’t need to do one, don’t panic, but if you’ve been told to do one, [or] you’re in those categories,you need to get one in and you need to get it soon. IF you miss the deadline, the fine’s £100 and there’s possible penalties later on and interest of 7.25% if you don’t pay.”

HMRC says about self-assessment: “Self Assessment is a system HM Revenue and Customs (HMRC) uses to collect Income Tax.

“Tax is usually deducted automatically from wages and pensions. People and businesses with other income must report it in a Self Assessment tax return.

“HMRC will calculate what you owe based on what you report.

“Pay your Self Assessment bill by 31 January.

“How much tax you pay will depend on the Income Tax band you’re in. There’s a different rate for Capital Gains Tax if you need to pay it, for example you sell shares or a second home.”

Those that earned more than £1,000 as a sole trader, together with eBay sellers, and those that had income from letting out a property, additionally need to file.

HMRC provides: “You’ll pay a late filing penalty of £100 if your tax return is up to 3 months late. You’ll have to pay more if it’s later, or if you pay your tax bill late.”