May 19 is the last day for the returns to be submitted, and firms could be fined £100 if they miss it. However many businesses are still unaware of the deadline.
The findings from Sage revealed that smaller firms need further information and guidance about submitting their tax returns, especially regarding submitting online.
Almost a third of businesses have never submitted online, and of these, only 28% plan to do so this year.
Furthermore, a quarter of businesses were found to be unaware that in 2010 it will be compulsory for all firms to submit payroll year end returns online. Currently, it is only mandatory for businesses of more than 49 employees.
However, a tax-free payment of £150 is given to smaller firms if they choose to submit online before the May 19 deadline this year and a further £175 is available over the next two filing years.
Jo Ray, managing director, Sage (UK) limited small business division, commented:
"The number of businesses that are unaware of the tax deadlines is higher than we expected. We feel that much of the problem is down to a lack of awareness and understanding about submitting payroll year end online. Businesses obviously have a need for more information.”
© Crimson Business Ltd. 2007
