Under the new SA late filing regime a late filing penalty applies regardless of whether you have a liability or made a payment.
The Institute of Chartered Accountants (ICAEW) points out the changes: it says:
“If your client misses the self assessment filing deadline this year they will be immediately liable for a £100 late filing penalty. The penalty will apply even if there is no liability or if any tax due is paid in full by 31 January 2012.
The fixed £100 penalty for failing to file a 2010/11 tax return on or before the filing date will therefore apply to:
- Paper returns received on or after 1 November 2011.
- Online returns received on or after 1 February 2012.
Daily penalties of £10 per day will also take effect if the tax return is still outstanding three months after the filing date. So if your client files a paper return after 31 October 2011, they will be liable to a daily penalty on 1 February 2012, three months earlier than late online filers.”
See Self-assessment: new late filing penalties now apply
For further detailed information see:
Tax penalties: failure to make a return (late filing)
Tax penalties: self-assessment late filing (up to 2009/10)
Subscribers: we recommend:
Adviser's Tax Penalty Planner a summary of the transitional tax penalty regime: what penalty will apply, when, where and why.
