Tax Returns Due & Penalties for late filing
Tax Advice » January 14, 2022
HMRC have announced they will waive late filing and late payment penalties for tax returns for one month.
However, the filing date of 31 January 2022 remains the same. Tax returns for the period April 2020 to April 2021 are due by 31 January 2022.
If an individual has a tax liability, this is also due for payment by 31 January 2022 (however, no penalties will be charged providing the return is filed by 28 February 2022 and no late payment penalty will apply if the tax liability is paid by 1 April 2022).
If the tax return is filed after this date, the penalties are as follows:-
| Period | Penalty |
| Up to 3 months late | £100 |
| More than 3 months late | £10 per day |
| More than 6 months late | Greater of: 5% of tax liability; and£300 |
| More than 12 months late | Greater of: Relevant % of tax liability and £300 |
If the tax is paid late, the penalties are:-
| Length of delay | Penalty |
| 30 days | waived |
| 6 months | 5% of the unpaid tax (additional) |
| 12 months | 5% of the unpaid tax (additional) |