Penalties for late filing of tax returns from 6 April 2011
HMRC are charging a penalty of £100 if a tax return is late by a single day, regardless of whether any tax is owed.
For each day that a tax return is late, within the first 3 months, an additional fine of £10 will be charged up to a maximum of £900. This is on top of the £100 applied on day one.
If a tax return is still not filed after 6 months an additional £300 (or 5% of the tax due, whichever is greater) will be applied on top of the previous penalties. The same late tax return penalty will be applied again after 12 months if no return is made.
If a Partnership tax return is late, each partner will have to pay the penalties.
The deadline for paper tax returns is 31st October and for tax returns filed online it is 31st January 2013.
And if you don’t pay your tax on time, interest and penalties will also be charged.
If you don’t pay the tax you owe for the previous tax year on time you will be charged a penalty of:
- 30 days late – 5% of the tax you owe at that date
- 6 months late – 5% of the tax you owe at that date in addition to the 5% above
- 12 months late – 5% of the tax you owe at that date in addition to the two 5% penalties above
- Interest will also be charged at 3% for late payments and half a percent on repayments