In order to pay off the unpredicted tax bills, consumers are taking personal loans. As reported, self-employed individuals are most likely to use this device.

London (shakespearefinance) 18 Jan 2007: According to a report published in Thrifty Scot, around £50 million will be borrowed in 2007 to pay for unpredicted extra tax bills. The majority of the consumers conceding this method are the self-employed group.

Consumers must fill out self-assessment tax forms by January 31st to avoid a £100 fine, on top of any extra money they may owe. This is the main reason behind the consumers considering a personal loanto juggle their personal finances. As estimated by Thrifty Scot, the average consumer will take out around £10,000 to cover their unexpected tax bills.

Self-employed consumers are well aware of the pressures of filling in forms and handing them in due time to save the right amount of tax. Though hiring a lawyer to deal with these issues sometimes provides a solution, for many consumers it remains unaffordable.

Consumers are advised by the company to make sure that they allow for extra tax (if possible) when they budget their savings, and to make full use of the large options of tax calculators available on the Internet.