Millions still haven't filed their taxes as deadline approaches

Millions  still haven't filed their taxes as deadline  approaches.

Millions risk £100  fine if they  don't file their tax  returns
Millions of people  must file their tax returns  online by midnight, meaning they could  face a £100 fine, HMRC has  warned.
More than three million people  facing a penalty are being  urged to go online for help and  advice and use the app to pay any outstanding tax once their return is  submitted.
For the first time, online platforms such as eBay and Vinted must  report sales information  to HMRC for people  who sell 30  or more items or  earn at least  £1,700.
The authority will assess  this information against individual tax  returns.
If the midnight deadline is missed, an initial fixed penalty  of £100 is  imposed, which applies even if there is no tax to  pay. "The reasons  given by customers for not paying their tax bill or  agreeing to a payment plan  on time will be considered  on an individual basis," said Myrtle Lloyd, HMRC's  director of customer  services.
After three months of not paying  tax, additional daily  penalties of £10 per day  will apply, up to a maximum of £900, with further penalties after six months and a year, including  additional interest.
Around 8.6 million people have already  filed their  taxes for 2023-24, including small businesses and  people with  additional income outside of their  work.
Accountant Benedicta Egbeme, founder of BeniRatio  Finance, told the BBC that people  should complete a self-assessment form if their self-employment income is more than £1,000, and for hobbies and side hustles such as eBay and  Vinted.
Companies like these are now required to share sales data and personal information  of sellers. The rules, which  came into force in January, do not mean there is a new tax  burden on these sellers, just that more information  has been shared to ensure they  pay the correct amount of  tax.
"We could not be clearer  - if you are not trading and occasionally sell unwanted items online  - there is no tax  to pay," HMRC  said.
"As has always been the case, some people who  trade through websites or  sell services online may need to  pay tax and  register for  self-assessment."
Those most likely to be affected are people who buy goods  to resell or  produce goods with the intention of selling them for a profit, or  provide a service such as being a delivery  person or  renting out a holiday  home.
HMRC denies  the "deliberately poor" telephone service.
'Fear'
"Taxation in general can be quite  a daunting subject," Ms Egbeme told the  BBC.
But she said  that while the UK tax system is "complex and  daunting", people should not "bury their  heads in the sand"  for fear of  getting caught up in the  system. Ms Egbeme said reasonable excuses  for not  submitting on time  included: being  lost, ill/sick, being  hospitalised or  facing a life-threatening  illness.
Other reasons that will be  considered are software  failures, problems with your  home computer, HMRC online  services and "destruction of  goods, files,  documents by fire, flood or  theft".
She said appeals against  the fine  could be made either by  filling in a form or by writing a letter to HMRC - but a  statement must be  provided.
"In fact, HMRC  will not consider  claims until your tax return has been  filed and payment has been made," Ms Egbeme  said.
HMRC is also warning customers to be aware of the risk of falling victim to scams which can increase during tax  deadlines and that people should never share their HMRC login details with  anyone. HMRC recently denied running a "deliberately poor"  telephone service in an attempt to  encourage taxpayers to seek help  online.
Chief executive Jim Harra said claims by  an MPs' committee about customer service were "completely  unfounded".

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