Mayday Tax Return Penalties Advice
HM Revenue & Customs (HMRC) is reminding taxpayers who have not yet filed their 2010/11 tax returns online that they must do so before 1 May, or face a series of daily penalties.
The penalties for late submission are as follows:
- 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 (1st May), 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.