With just a few days left until the self-assessment deadline, those who still need to file and pay for their tax return are reminded to do so before Friday, or face penalties.
According to HMRC, there are around 3.4 million people who still need to file theirs and if they don’t by this Friday (31st January), they will receive an automatic £100 penalty.
Penalties for late tax returns are as follows:
- an initial £100 fixed penalty, which applies 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
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There are also additional penalties for paying late, which is 5% of the tax unpaid at 30 days, 6 months and 12 months. If tax remains unpaid after the deadline, interest will also be charged on the amount owed, in addition to the penalties above.
Myrtle Lloyd, HMRC’s Director General for Customer Services, said, “Time is running out for the millions still to file their Self Assessment tax return by 31 January. Help and support is available for those who have not yet started their return. Visit GOV.UK and search ‘Self Assessment’ to find out more.”
To find out more about contracting please contact Jaime on 01442 795 100 or email jaime.thorpe@dolanaccountancy.com.
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