I have spent most of my last four weeks helping clients to complete their tax returns prior to the filing deadline at the end of January. I do it at this time every year and, on each occasion, I ask why people leave it so late to deal with their own financial affairs.

My financial adviser contacts tell me that some of the best deals on tax-free investments are announced in the run-up to the end of the fiscal year at 5 April. Why? Because the majority of us leave it until the last minute to make our contributions.

It’s amazing when you think about it. Ok, so you only submit your tax return once, but there is more than compliance at stake here. A number of the returns that we have processed in recent weeks have generated refunds – prompter submission would have put that money in your bank account months earlier. Others had significant tax bills to pay, with little or no time to arrange their finances.

‘The evil day’
I tried to work out why. One client explained that the later he left it, the later he had to pay me. Refreshing honesty, but an isolated view I suspect. Most of those who leave it late are almost certainly putting off what they see as ‘the evil day’.

Maybe HMRC should offer incentives rather than beat taxpayers with a stick when they fail to comply. Would an early filing incentive help the government to collect all those returns without the unseemly rush every January? I suspect not, but it works in the retail sector with post-Christmas sales, so why not for tax returns too?

A final thought. HMRC reports that over 1,500 people filed their tax returns on Christmas Day 2013. Despite the workload, not even I had to resort to that!