New Harsh Penalties on late filing of Personal Tax Returns
The penalty regime for the late filing of the 2011 tax return (and later years) has been changed. Whereas previously the penalty was only £100 for a late return, rising to £200 for a return still not filed after a further six months, the new penalties are much harsher. Furthermore the provision whereby a penalty would be removed or limited, where the tax ultimately due was minimal, has been removed.
Therefore in future all returns filed late will incur an automatic £100 penalty which will escalate by the inclusion of a daily penalty after three months. There are also nastier penalties for taxpayers who HMRC judge persistently file their returns late. These new rules apply to personal tax returns and trust tax returns.
Please contact us if you require more details.
