Beware VAT misinformation from AI, gold stars for April’s tax returners, and the Cyber Resilience Pledge launch is planned
Today we remind readers not to always trust advice given by AI when filing a VAT return, April saw record levels of early tax returns (meaning any tax rebates will be paid much sooner!) and the Cyber Resilience Pledge is due to launch later in 2026.
AI providing misleading advice on VAT return filing
Incorrect advice provided by Artificial Intelligence (AI) and other websites is contributing to a growing trend of late VAT return filing and payment.
HM Revenue and Customs (HMRC) are reminding VAT-registered businesses that there is no extension to the statutory due dates when they fall on weekends or bank holidays.
HMRC’s systems do allow for VAT returns to be submitted at weekends or on bank holidays. However, if a business cannot do that, then the return must be submitted by the last working day before the due date. HMRC will not accept weekends or bank holidays as a reason for filing a VAT return late.
It is similar to VAT return payments. When the due date falls on a weekend or bank holiday, payment must clear into HMRC’s bank account by the working day before the due date, unless a taxpayer’s bank allows faster payments on weekends and bank holidays.
Missing the due dates for submitting VAT returns and making payments can result in interest and penalties, so it is important to have a good reminder system to ensure the deadline is met.
If you need any help with filing your VAT returns or any other aspect of VAT advice, please do get in touch. We would be happy to help you!
Companies House reviewing company records retention period
Companies House are currently reviewing how long they hold the records of dissolved companies. Concerns have been raised about whether records should be held for longer than 20 years.
Currently, Companies House keeps company records for as long as a company is active. Once a company is dissolved, the records are kept for 20 years. At that point, selected records are transferred to the appropriate Public Records Office. Unselected records are destroyed.
While the review is ongoing, Companies House has paused any destruction and transfer of records.
If the review concludes that a change to the retention period is needed, a public consultation will be run to get views on any new proposals.
April was a record month for tax return filing
HM Revenue and Customs (HMRC) have reported that 298,905 people filed their Self Assessment tax return in the first week of the tax year, with a record total of 737,891 returns being filed during the month of April 2026.
HMRC are highlighting several benefits to filing early, including:
- Getting a refund sooner if you are due one.
- Reducing stress by avoiding the pressure that comes from filing at the last minute.
- There is no need to pay tax early but knowing how much you owe ahead of time helps with budgeting.
- Any mistakes can be checked and corrected before the deadline.
- A processed tax return can be used as proof of income for mortgage and loan applications or benefit claims.
More than 12 million tax returns are due to be filed by 31 January 2027, so there are still plenty of returns to be filed yet.
If you would like help in preparing and filing your 2025/26 tax return, please do get in touch. We would be happy to help you!
See: https://www.gov.uk/government/news/298905-self-assessment-filers-quick-off-the-mark
Businesses encouraged to sign up to Cyber Resilience Pledge
The government is encouraging businesses to boost their resilience and strengthen their cyber defences.
Developments in Artificial Intelligence (AI) are making it easier for cyber criminals to find vulnerabilities in IT systems and carry out attacks in ways that would not have been possible a year ago. Hostile cyber activity is growing more intense, frequent and sophisticated. Government figures suggest that 43% of UK businesses experienced a cyber breach or attack in the last year.
Cyber Security Minister Baroness Lloyd said that computer security is now fundamental to economic growth, job creation and the resilience of services that people rely on each day. She said, “As threats evolve, businesses of all sizes need to step up and take practical action now.”
Businesses are being encouraged to sign up to a Cyber Resilience Pledge. The Pledge will launch later in 2026 and sets out three actions for businesses to take.
- Make cybersecurity a board-level responsibility.
- Sign up for the free Early Warning Service run by the National Cyber Security Centre (NCSC).
- Require all businesses in their supply chain to have Cyber Essentials certification.
Taking these actions will not guarantee protection from cyber attacks, but they can have a positive impact on a business’s resilience.
For more information about the Pledge, see: https://www.gov.uk/government/publications/cyber-resilience-pledge