Key tax dates and deadlines for contractors in 2024

As you get back into the swing of things in the new year, you may wonder what key tax dates and deadlines you must be aware of in 2024. We’ve compiled a helpful timeline of the most important accounting dates to help you stay on top of your tax obligations in 2024.

Key accounting dates and deadlines

January

1^st January – Corporation Tax payment deadline

The Corporation Tax payment deadline applies to limited companies with an accounting year end of 31^st March.

6^th January – National Insurance Cut

The main rate of Class 1 employee National Insurance Contributions is cut to 10%.

31^st January – Self Assessment Tax return deadline

This is the final date for those required to complete and file a self-assessment tax return online.

31^st January – First payment on account and balancing payment due

The first Income Tax and National Insurance payment on account in relation to your self-assessment tax return and balancing payment are due. Payments on account are advance payments on your next year’s self-assessment tax bill. You’ll need to make a payment on account if less than 80% of your income is paid at source and your tax bill is over £1,000. Any late payments will incur an interest charge on the amount due.

31^st January – Capital Gains Tax payment deadline

Capital Gains Tax may apply if you’re selling or have sold assets. The amount you owe will form part of your balancing payment. If you’ve sold residential property that isn’t your main home, the gains must be reported and paid to HMRC within 60 days of the sale.

March

6^th March – Spring Budget 2024

The Chancellor, Jeremy Hunt, has confirmed this date for the Spring Budget 2024. The Budget summarises economic performance, sets projections for the year ahead, and unveils proposed tax and spending amounts.

31^st March – Annual Tax on Enveloped Dwellings (ATED) returns 

The deadline for amending ATED returns and settling any outstanding tax for the period from 1^st April 2022 to 31^st March 2023.

You must revalue your property every five years in line with ATED legislation. Please note that the chargeable period from 2023 to 2024 is a revaluation year. The amount you’ll need to pay is worked out using a banding system based on the value of your property.

31^st March – Corporation Tax return deadline   

If you have a limited company with an accounting year end of the 31^st March, you must submit a Corporation Tax return by this date.

April

1^st April – Increase in National Living Wage and Minimum Wage

The National Living Wage and Minimum Wage hourly rate will increase to £11.44. Individuals in the 18-20 age bracket will see an increase to £8.60 per hour.

1^st April – 15 hours of free childcare for 2-year-olds

Reforms to provide 30 hours of free childcare to all children under the age of 5 (for eligible parents) means 15 free hours of childcare for working parents of 2-year-olds will be introduced.

1^st April – Research & Development tax relief 

For accounting periods beginning on or after 1^st April, a new merged R&D tax expenditure credit scheme will replace the current R&D tax relief for SMEs and RDEC. The threshold for being an R&D-intensive company reduces to 30% for accounting periods beginning on or after this date.

5^th April – Pension contributions deadline 

This is the deadline for making pension contributions that qualify for tax relief in the 2023/24 tax year.

5^th April – Capital Gains Tax exemption  

This is the last day you can make disposals and benefit from the 2023/24 Capital Gains tax-free annual allowance.

5^th April – Inheritance Tax  

This is the final opportunity to take advantage of the IHT tax-free gifting for the 2023/24 tax year, along with any additional exemptions from 2022/23.

5^th April – Class 2 National Insurance Contributions   

This is the voluntary Class 2 National Insurance Contributions deadline for 2017/18.

6^th April – New Tax Year  

There are various planned updates and any tax changes which will come into effect, and these include:

• The dividend tax-free allowance will halve to £500.
• The Capital Gains tax allowance will be reduced to £3,000.
• Class 2 National Insurance Contributions for the self-employed will be abolished.
• Class 4 National Insurance Contributions for the self-employed will be lowered to 8%.
• The pension lifetime allowance will be scrapped, ending the cap to the amount you can save in a pension before tax charges apply.
• ISA reforms mean people can pay into multiple accounts of the same types of ISA in a tax year.
• Basis period reform will be introduced, meaning income tax for the self-employed is taxed on the trading profits arising within the year.
• There will be an increase in state benefits, and pensioners will see an 8.5% rise in their state pension income.
• Cash basis becomes the default method by which the self-employed and partnerships record expenses and revenue. Interest, turnover and loss relief restrictions are removed.
• Changes to the gross payment status test for the Construction Industry Scheme will take effect, and HMRC will have the authority to revoke gross payment status in instances of severe non-compliance.

30^th April – Annual Tax on Enveloped Dwellings returns

The deadline for submitting ATED returns and making tax payments for the period from the 1^st April 2024 to the 31^st March 2025 is the 30^th April 2024. It is also the deadline to submit a relief declaration return.

May

31^st May – Pay As You Earn (PAYE) P60 deadline 

The deadline for issuing employees with their annual P60s and any necessary details regarding benefits-in-kind.

July

6^th July – Deadline for filing P11D and P11D(b) forms  

The deadline for filing P11D and P11D(b) forms. To report the value of benefits you’ve provided to directors and employees. You also have to provide the P11D forms to your relevant staff.

19^th July – Non-electronic Class 1A National Insurance Contributions deadline 

The non-electronic deadline for making payment on any outstanding Class 1A National Insurance Contributions for the tax year ending on the 5^th April 2024.

22^nd July – Electronic Class 1A National Insurance Contributions deadline 

The electronic deadline for making payment on any outstanding Class 1A National Insurance Contributions for the tax year ending on the 5^th April 2024.

31^st July – Second payment on account due  

The second (and final) Income Tax and National Insurance payment on account is due based on your 2022/23 tax year earnings.

October

5^th October – Deadline to register for self-assessment

If you have never completed a self-assessment tax return before, you need to register for self-assessment. Once you register, you will receive a Unique Taxpayer Reference (UTR) number and an activation code, which you require to file a tax return.

31^st October – Deadline for postal self-assessment tax return  

If you prefer to submit your tax return via post instead of filing it online, you must submit it by the 31^st October. If you miss this deadline, submitting an online tax return instead is still possible, which must be filed by the 31^st January.

December

30^th December – Opt into PAYE   

If you file your tax return online and have earnings subject to PAYE, you may have the option to have any outstanding tax collected through your tax code over the following year. This option is only available if your tax bill is under £3,000 and you file your online return by a specific date.

31^st December – Deadline for filing annual accounts   

If you have a limited company with an accounting year end of the 31^st March, the 31^st December is the deadline for filing your company’s annual accounts.

VAT return deadlines

Making Tax Digital for VAT requires all VAT-registered businesses to file a VAT return four times a year. The commonly used VAT return dates are:

• 1^st January – 31^st March
• 1^st April – 30^th June
• 1^st July – 30^th September
• 1^st October – 31^st December

Each quarterly VAT return is due for filing one month and seven days after the end of the quarterly period. For example, VAT returns covering the first quarter (1^st January – 31^st March) must be filed to HMRC by the 7^th May.

Contact Churchill Knight today to find out more about our accountancy service 

Have you recently taken the plunge into contracting, or are you a seasoned contractor looking to switch accountants? Churchill Knight has over 25 years of experience supporting contractors and freelancers with their accountancy. If you are considering setting up a limited company or would like to discuss our limited company accountancy service, please call our expert team on 01707 871622. You can also request a callback for a time that suits you, and a team member will be in touch.