Member Article

Don’t let a late return trigger escalating fines

Tees Valley business advisers and chartered accountants Waltons Clark Whitehill are advising people not to miss the impending deadline to file Self Assessment tax returns.

George Hardey, Associate and Head of Tax at Waltons Clark Whitehill, warned that as the January 31 deadline passes, a process of increasing fines is triggered.

George said: “The penalties for missing the online tax return deadline grow as the gap between January 31 and the date it is filed increases, so missing the deadline is bad, delaying further is to be avoided at all costs.

“At one day late, the fine starts at £100 regardless of whether you have any tax to pay. At three months late, for each following day, there is an additional £10, up to a 90 day maximum of £900 on top of the £100 fixed penalty. At six months, there is a fine of the higher of £300 or 5% of the tax due, again on top of the earlier penalties. A further six month delay doubles the six month fine and may, in serious cases, lead to a penalty equalling 100% of the due tax.”

George also commented that you shouldn’t submit a paper return because that will automatically incur penalties as the deadline for those returns has already passed. You must therefore submit online.

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This was posted in Bdaily's Members' News section by George Hardey .