{"id":213,"date":"2025-10-02T06:00:08","date_gmt":"2025-10-02T06:00:08","guid":{"rendered":"http:\/\/www.ccsbinc.com\/?p=213"},"modified":"2025-10-02T16:30:16","modified_gmt":"2025-10-02T16:30:16","slug":"business-partners-who-miss-october-5th-deadline-face-1-5k-fine","status":"publish","type":"post","link":"http:\/\/www.ccsbinc.com\/index.php\/2025\/10\/02\/business-partners-who-miss-october-5th-deadline-face-1-5k-fine\/","title":{"rendered":"Business partners who miss October 5th deadline face \u00a31.5k fine"},"content":{"rendered":"

Business owners running a business partnership should put a red circle around October 5th as this is the deadline for registering for self-assessment.<\/p>\n

The date is pertinent for individuals who entered a business partnership in the 2024\/5 tax year. Only one individual needs to register the partnership with HMRC but, importantly, both the founder and their “nominated partner” must register for Self Assessment individually.<\/p>\n

This, alongside registering a company name<\/a>, is where businesses can quickly get themselves into trouble if they are not compliant.<\/p>\n

Getting your admin right<\/h2>\n

Any business owner who enters into a business partnership must choose a ‘nominated partner’. This partner manages tax returns, business records, and VAT registration if the firm’s VAT taxable turnover exceeds £90,000.<\/p>\n

However, it is the partner who registers the business<\/a> who must declare the partnership’s profits and deduct any allowable expenses. They can do this using the partnership’s Unique Taxpayer Reference (UTR), which is different from their individual UTR.<\/p>\n

It gets confusing as both the partnership tax return and each partner’s individual return have the same filing deadline. Getting them muddled “… is a classic way to cause delays and trigger penalties,” says Joe Phelan, money.co.uk <\/a>business bank accounts expert.<\/p>\n

Phelan also recommends opening a business bank account as this keeps business and personal finances separate from each other. “It’s the single best way to have a clear, simple record when it’s time to do your taxes,” he adds.<\/p>\n

Self-Assessment myths<\/h2>\n

Phelan suggests that this deadline is a perfect opportunity to tackle all things tax for your business, whether a partnership or not. This is not least because businesses are facing changes as the Government pushes ahead with its Making Tax Digital plan<\/a>.<\/p>\n

Roll-out starts for some in April and reforms include quarterly income reporting and the keeping of digital records initially for those above the £50,000 threshold.<\/p>\n

Like Phelan, Pauline Green, Head of International Compliance at Intuit QuickBooks, emphasises the need for partnerships to be registered before the October deadline; whether they are planning on filing online or on paper.<\/p>\n

She adds, though, that business owners also need to think ahead to the self-assessment deadline in January, whether they are in a partnership or not.<\/p>\n

She explains that individuals need to fill in a self-assessment form if they have “untaxed income from any other sources such as from property, dividends, or side hustles”. They might also need to fill in a form if the interest from their savings hits a certain level.<\/p>\n

She adds: “Even if you’re employed and paying higher-rate tax through PAYE, you may still need to file a Self Assessment if you have additional untaxed income, such as rental income or large investments.”<\/p>\n

The emphasis from both experts is that missing this October deadline – and the January deadline for partnerships and non-partnerships alike – will trigger penalties and complications with your submission when you finally register or file.<\/p>\n

Missing the October deadline won’t leave you off the hook, but will just mean that you’ll still need to register and will be landed with a penalty for tardiness.<\/p>\n

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\n Five key self-assessment tax dates <\/span>\n <\/div>\n

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