Self Assessment Late Filing Penalties deferred

HMRC announced recently that it was deferring the imposition of late filing penalties for Self Assessment Tax Returns to the 28th February this year. Effectively, they have extended the filing deadline by a month, for the second year.

They have also included late payment in this waiver, which means there will be no penalty if your personal Tax Payment isn’t made until the 1st April.

You need to be careful here though!

HMRC are not going to impose ¬£100 late filing penalties but they WILL charge interest on any tax amounts that aren’t paid by the 1st February 2022, as normal.

Bear in mind their interest rate has just gone up too.

The background

The Accounting industry were calling for the filing deadline to be pushed back, as many firms have been struggling with staff shortages caused by the pandemic.

Several industry experts have highlighted the number of returns still to be filed, and claimed that HMRC have shifted the deadline to avoid a tsunami of Coronavirus-related penalty appeals later.

Current statistics show 6.5 million Returns have been submitted so far, with 12.2 million still to be filed. The cost and time required to deal with anywhere near that number of appeals would be enormous.

Our recommendation?

If you haven’t yet completed your Return, don’t delay – get it done!

You still need to make your payment by the 1st February, and to do that with any certainty you need to have prepared your Return.

The majority of our client returns have already been submitted, so if you need help with yours, please get in touch.

 

Business News

Add your details below to receive our updates on legislation changes and business news that may affect you. We promise not to bombard you and you can unsubscribe at any time.
  • This field is for validation purposes and should be left unchanged.
Please feel free to share this...
Email this to someone
email
Tweet about this on Twitter
Twitter
Share on LinkedIn
Linkedin
Buffer this page
Buffer
Share on Facebook
Facebook
Print this page
Print

Rebound Logo - an stylised image of the Coronavirus molecule, with a banner around it saying 'Rebound'

Visit our Rebound Resources page for free tools & guidance to help your business Rebound from the pandemic.