Late Payment Tax Penalty

brians379

I submitted my paper tax return for the year 2017/18 on the 4th August 2018, well before the deadline for submission and for HMRC to calculate my tax. The HMRC web site recorded that it was received on the 7th August 2018.   22 months later (May 2020) I received a letter from HMRC acknowledging receipt and advising that I would receive my tax calculation by separate letter. I then received a tax calculation and a demand for payment by 31st January 2018.  The demand for payment was received 16 months after the payment date. I paid immediately. I received a separate demand for £230 interest on the late payment,  I have now received a penalty notice of £820 for late payment for the year  2018/2019. I will no doubt received further penalty for late payment for the year 2019/2020. I have paid all demands immediately on receipt.
HMRC  were 16 months late in calculating my tax, but are charging me interest and penalties for this delay. 

Jeremy535897

You would be far better doing it online, when you know what you will be paying as soon as you prepare your return. If your affairs are complex (and an online return cannot be used), employ an accountant.