HMRC on brink of activating £100 fines for millions of UK households

HMRC, the tax arm of the new Labour Party government, says penalties will increase the longer tax returners don't lodge their forms.
-Credit:Reach Publishing Services Limited


HMRC is close to activating £100 fines for millions of UK households as the self assessment deadline looms. HMRC, the tax arm of the new Labour Party government, says penalties will increase the longer tax returners don't lodge their forms.

Failing to meet the deadline on Friday, January 31, will result in a minimum penalty of £100. Myrtle Lloyd, HM Revenue and Customs (HMRC) director general for customer services, said: “Time is running out for the millions still to file their Self Assessment tax return by 31 January.

“Help and support is available for those who have not yet started their return. Visit GOV.UK and search ‘Self Assessment’ to find out more." Seb Maley, CEO of insurance contractor Qdos, said: “With the tax return deadline rapidly approaching, this is a timely reminder from HMRC.

ADVERTISEMENT

READ MORE: State pensioners getting £200 bonus payments in February

READ MORE: HMRC warns state pensioners face having payments cut due to 10-year rule

READ MORE All the parts of England and Scotland facing snow AGAIN before end of January

"Fail to file your tax return and pay it by midnight on January 31, and you’ll be hit with a £100 fine immediately. These fines start to rack up, with interest added to the amount you owe. Needless to say, acting sooner rather than later will make a big difference.

“What’s more, unfiled, late or incorrect tax returns can increase the likelihood of being investigated by HMRC. Doing everything you can to meet this month’s deadline and submit an accurate tax return is vital.” He added: “The good news is that help is available to those who need support or might struggle to pay.

"Exploring HMRC’s Time to Pay facility, which can spread out the cost of your tax bill into manageable monthly payments, is one option.” It is important that customers let HMRC know of any changes to their circumstances. Customers can use the HMRC app to update their details including a new address or name. Customers also need to let us know if they’ve stopped being self-employed or need to change their business details. This can be done online at GOV.UK.