UK small business owners could lose £45 million on 1 February by failing to complete their tax returns by the 31st January deadline.

UK small business owners could lose £45 million on 1 February by failing to complete their tax returns by 31 January deadline.

The warning from accounting software company Kashflow comes as an influx of businesses are struggling ahead of the final deadline for submitting tax returns.

A recent survey of 500 small businesses found that one in ten business owners admitted to missing tax return deadlines. With 4.5 million small businesses in the UK this means that 450,000 small business owners are likely to miss their tax return deadline at the end of this month, with the smallest fine incurred for missing the deadline £100 for being just one day late.

Duane Jackson, founder and CEO of KashFlow, says, ‘I find it truly astonishing that in today’s climate such a huge amount of money is being put at risk by UK business owners. As a small businesses owner myself, I understand the plethora of pressures faced by businesses today, yet adding another financial burden by missing a deadline will only worsen the strain in the long run.'

Will Farnell, director at accountancy firm Farnell Clarke adds, ‘When it comes to accounts, it can be easy for small business owners to neglect time consuming and cumbersome jobs which require manual completion. But I believe these bad habits need to be challenged.’ 

See also: Tax return advice for new businesses