HM REVENUE and Customs (HMRC) is reminding individuals and businesses in Fife and Tayside postcodes (DD,KY and P), about new Self Assessment penalties for late returns and late payments, which come into effect this autumn.
Every year, around 99,000 people file a Self Assessment return in Fife and Tayside.
The new penalties for late Self Assessment returns are: 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, 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; and 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.
New penalties for paying late are 5% of the tax unpaid at: 30 days, 6 months and 12 months.
Interest will also be charged on top of these penalties.
The tax return deadlines remain unchanged – October 31 for paper and January 31 for online returns. The deadline for paying any tax due also remains the same at January 31.
The changes will affect Self Assessment returns for 2010/11, and all future financial years.
Further information on the new penalties is available from the HMRC website at www.hmrc.gov.uk/sa/deadlines-penalties.htm.
For help and advice on completing a return, visit www.hmrc.gov.uk/sa or call the Self Assessment helpline on 0845 9000 444.