New Self Assessment penalties for late returns and late affect returns for 2010/11 which are shortly becoming due.
Self-assessment: new late filing penalties now apply
The new penalties for late Self Assessment returns are:
|
Lateness |
Penalty |
|
Miss filing deadline |
£100* |
|
3 months late |
Daily penalty £10 per day for up to 90 days (max £900) |
|
6 months late |
5% of tax due or £300, if greater |
|
12 months late |
5% or £300 if greater, unless the taxpayer is held to be deliberately withholding information that would enable HMRC to assess the tax due. |
|
12 months & taxpayer deliberately withholds information |
Based on behaviour:
Reductions apply for prompted and unprompted disclosures and telling, giving and helping. |
* No reduction if payment is made on time, there is a loss or a nil liability.
Interest will also be charged on top of these penalties.
The tax return deadlines remain unchanged – 31 October for paper and 31 January for online returns. The deadline for paying any tax due also remains the same at 31 January.
For further information see:
Tax penalties: failure to make a return (late filing)
Tax penalties: self-assessment late filing (up to 2009/10)
For more information on other tax penalties visit our: Penalties & Compliance section.
Subscribers: we recommend:
Adviser's Tax Penalty Planner a summary of the transitional tax penalty regime: what penalty will apply, when, where and why.
