The festive tradition no one talks about: tax returns

Money Matters | December 2024

Yes, it’s that time again; nostalgic TV specials, local town lights aglow, and the annual ritual of sending cards to loved ones. It can only be Christmas. But, there is one tradition that seems to be hushed — the joy of self-assessment tax returns.

While the majority are busy unwrapping presents or preparing the turkey, last Christmas, over 25,000 tax returns were submitted over the three-day festive period.

Why do your tax returns over Christmas?

• Avoid the January rush: Completing your tax return early means you avoid the last-minute panic and potential delays.
• More downtime: With many businesses closed and fewer distractions, you can focus on your tax return without the usual interruptions.
• Financial planning: Knowing your tax liability early allows you to budget and make any necessary financial arrangements well before the deadline.

Don’t panic, not everybody needs to do an annual self-assessment, but over 12m Britons have registered to complete their 2023/24 tax return by the end of January (you can check if you need to here).  

Thinking of joining these festive filers?

• Don’t forget savings: If you need to do a return, you’ll need to declare any interest earned from savings accounts on it. 
• Have everything to hand: Ask for your 2023/24 tax year interest statements from banks early to avoid delays over the holidays. 
• Need your interest statement: You’ll find the amount of interest you’ve earned over the year on your annual tax statements. We’ll send your 2024/25 interest statement in April. 

Remember, the deadline for submitting your online tax return for the 2023/24 tax year is midnight on 31 January 2025.

So, this Christmas, leave a little time aside to complete your tax return. It might just be the most productive gift you give yourself this holiday season.

From all of us here – we wish you a joyful Christmas period and a prosperous 2025 …however you choose to spend it. 

Stuart Hulme, Managing Director of Savings

We do not provide tax advice. The way your savings are taxed depends on your personal circumstances. Tax rules may change in the future.