As the Self Assessment deadline has now passed, HMRC will begin to start issuing penalty notices to those who did not meet the legal requirement to file their returns on time.
A fixed penalty of £100 will be due for all returns which were outstanding at 31 January 2015. This penalty is no longer reduced where the liability is lower than this or where a repayment is due.
HMRC will also start to add £10 daily penalties up to a maximum of 90 days where the return remains outstanding after 3 months (30 April 2015).
Finally, a late payment penalty of 5% of the calculated balancing payment will become due on any tax liability unpaid 30 days after the original due date (by midnight on 2 March 2015). Perhaps a good time to remind you if you have not already settled your Self Assessment liability for 2013/14!
The late payment penalty will not apply to liabilities covered by a time to pay arrangement so it may be beneficial to urgently contact HMRC to arrange a scheduled payment plan if you cannot at present meet your 2013/14 liability.
Paul
