Late tax return - what now?

larochelleuk

Hi all,

So my tax return will be late. What's the best way to handle this with them? I've heard they can actually be quite reasonable if you keep them informed - any chance they'd waiver the fee?

Mikeyorks

It's not negotiable unless you have a very persuasive reason. Over the last 13 years they've heard all the other excuses and will point out you've had 9 months to do it?

The only guarantee is to pay any tax that will be due .... by Monday! Won't stop the £100 penalty .... but (for this final year when the loophole closes) it will reduce to the amount of tax outstanding. So no penalty if no o/s tax?

cfnc

Will they waive the fee if the reason you will be late with your tax return is if they haven,t sent the activation code for the online filing? It was requested in plenty of time.

Mikeyorks

It will depend if your 'plenty of time' agrees with their 'plenty of time'?

As you commit yourself to online filing any time after 31st Oct ..... was it that 'plenty of time'? Their examples of 'reasonable excuse' are listed here on the appeal form:

http://www.hmrc.gov.uk/individuals/sa355_sa326(1)hmrc12_05.pdf

gt94sss2

Mikeyorks wrote: »

It will depend if your 'plenty of time' agrees with their 'plenty of time'?

My brother is in the same situation - waiting for a PIN to arrive.

Our plan is to pay the tax due online and hand the paper copy of the SA200 (short tax return) to a local tax office (Bush House, London) tomorrow.

I think this means that no penalty will be due.

If the PIN arrives tomorrow, then he will also submit a copy of his tax return online.

Can anyone see any flaws with this strategy?

Regards
Sunil

Mikeyorks

gt94sss2 wrote: »

Can anyone see any flaws with this strategy?

Yes - the paper return is unnecessary.

Just pay the amount due (over the PO counter or preferably Debit Card via BillPay) ........... and file the Return online when the PIN arrives.

soolin

gt94sss2 wrote: »

My brother is in the same situation - waiting for a PIN to arrive.

Our plan is to pay the tax due online and hand the paper copy of the SA200 (short tax return) to a local tax office (Bush House, London) tomorrow.

I think this means that no penalty will be due.

If the PIN arrives tomorrow, then he will also submit a copy of his tax return online.

Can anyone see any flaws with this strategy?

Regards
Sunil

Only that the date for paper submissions has already past.

gt94sss2

Mikeyorks wrote: »

Yes - the paper return is unnecessary.

Just pay the amount due (over the PO counter or preferably Debit Card via BillPay) ........... and file the Return online when the PIN arrives.

If he handed in (or posted?) the paper return now and paid the tax due, could we just not do the online return once the PIN finally arrives?

In other words is the timing of submitting the tax return (paper or online) relevant atm, if the tax is paid today..

Regards
Sunil

soolin

gt94sss2 wrote: »

If he handed in (or posted?) the paper return now and paid the tax due, could we just not do the online return once the PIN finally arrives?

In other words is the timing of submitting the tax return (paper or online) relevant atm, if the tax is paid today..

Regards
Sunil

There are two different issues.

Firstly there is a £100 fine for tax returns that are not submitted by end of today, the deadline for submission on paper has already past.

Secondly there can be interest accruing on tax owing that is paid after midnight today.

So it is possible to avoid the second issue but more difficult to avoid the fine in the first issue.

Mikeyorks

gt94sss2 wrote: »

In other words is the timing of submitting the tax return (paper or online) relevant atm, if the tax is paid today..

No - the timing is irrelevant if you pay the tax due during today.

Just submit the Return online sometime in the next few weeks and the £100 penalty will evaporate.

You need to pay over the PO counter (with a payslip) or Debit Card via BillPay to attract an 'in time' payment date.

gt94sss2

Mikeyorks wrote: »

No - the timing is irrelevant if you pay the tax due during today.

Just submit the Return online sometime in the next few weeks and the £100 penalty will evaporate.

Thanks - in that case, I may as well just post the form my brother has already filled in. No need to wait for the PIn or drop it off to a local office..

Regards
Sunil