HMRC Update - September 2011
Late Filing Penalty Reminder

In an attempt to keep taxpayers up to date. HM Revenue & Customs have issued the following as a reminder of the late filing penalties for Self assessment Tax Returns for the 2010/11 years and onwards.

HM Revenue & Customs is reminding individuals and business about new Self Assessment penalties for late returns and late payments, which comeinto effect this autumn.

The changes will affect Self Assessment returns for 2010/11 and all future financial years.

The new penalties are:
An initial £100 fixed penalty, which will now apply even if there is no tax to pay or if the tax due is paid on time.
After 3 months, additional daily penalties of £10 per day, up to a maximum of £900.
After 6 months, a further penalty of 5% of the tax due or £300, whichever is greater:
After 12 months another 5% or $300 charge, whichever is greater.

In serious cases, the penalty after 12 months can be up to 100% of the tax due.

New Penalties for paying late are 5% of the tax unpaid at:
30 days
6 months and
12 months

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 as 31 January.

For further information on the new penalties is available from the HMRC website at .