Business News
Don’t forget or face regret!
New changes have come into play in a bid to keep taxpayers up to date and remind them of the late filing penalties if their Self Assessment Tax Returns are not put through on time. Tax Advisors, Accountants and other finance professionals should also take heed of the changes, with a new £100 late filing penalty that will apply whether the tax has been paid on time or not coming into effect.
The Self Assessment returns will be affected, from 2010/2011 and future financial years, and HM Revenue and Customs (HMRC) are reminding businesses and individuals alike to keep on top of their paperwork. If not, the new penalties to be suffered are as follows:
· An initial £100 penalty for late filing, even if there is no tax to pay or the tax is paid on time
· 3 months late, and expect additional penalties of £10 a day of up to a maximum of £900
· 6 months late, a further penalty of £300 or 5% of the total amount of tax due; incidentally whichever will cost you more will be charged
· 12 months or more, and another 5% or £300 charge – whatever is greater. In serious cases, the penalty 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.
To add to this, interest will also be charged on top of this!
The deadline to get your tax returns in has not changed and so there will be little leeway to appeal any charges without proper cause, so make sure you are up to date and on course to get them in on time and hassle free. If you need further information on the new penalties, everything you need is at HMRC’s website.
