Martin Lewis issues warning to parents who earn over £50,000

BBC Sounds star sounded the alarm over the looming self assessment deadline which is due to fall on January 31 - with the taxman ready to issue fines.
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Martin Lewis has issued a warning to people who claim HMRC Child Benefit. The BBC Sounds star sounded the alarm over the looming self assessment deadline which is due to fall on January 31 - with the taxman ready to issue fines.

On his ITV show this week, 52-year-old Martin explained: “I spoke to HMRC today. There were 5.4 million people who hadn’t done it at the beginning of the month. There are still 3.8 million people who need to do it who haven’t done it. That is a lot of people, people."

Martin continued: “If you’ve got over £10,000 in savings interest, that’s a lot of interest, you need to do one. If you earn over £150,000, you need to do one, and if you earned over £50,000 in that tax year, remember the threshold is higher now but this is for the 2023 to 2024 tax year, and you got Child Benefit, you need to do a self-assessment."

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“So for millions of people who don’t need to do one, don’t panic, but if you’ve been told to do one, or you’re in those categories, you need to get one in and you need to get it soon. If you miss the deadline," he said. "The fine’s £100 and there’s possible penalties later on and interest of 7.25% if you don’t pay.”

He said: "Now, if you miss the deadline, the fine is £100 plus possible penalties later on, and interest of 7.25% if you don't pay. Now, I'm not sure HMRC like me saying this, but I'm going to say it anyway. The best thing is get your form done, get it in and do it properly.

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"But if you're going to struggle to get the form done and you've got a rough idea of how much tax you should pay, pay what you think you owe now. This is why. Let's say you pay £10,000 and your bill turns out to be £11,000. You're only charged the interest on the bit you didn't pay, not the bit you did pay.

"So getting some money in would reduce the interest charges that are going on what you have paid. But better still, just get your form in and do it properly. And if you're struggling to pay, speak to HMRC urgently."