From the tax year 1996/97 the burden of assessing tax shifted from the Inland Revenue to the individual tax payer. The main features of this system are as follows:

  • the onus is on the taxpayer to provide information and to complete returns
  • tax will be payable on different dates
  • the taxpayer has a choice: he can calculate his tax liability at the same time as making his return and this will need to be done by 31st January following the end of the tax year. Alternatively, he can send in his tax return before 30 September and the Inland Revenue will calculate the tax to be paid on the following

31 January

- the important aspect to the system is that if the return is late, or the tax is paid late, there will be automatic penalties and/or surcharges imposed on the taxpayer.

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