HMRC has taken the decision to not issue a late filing penalty for anyone who does not submit their self-assessment tax return before midnight on 31st January 2022. It is important to point out that the deadline for filing your 2020-21 tax return remains 31/01/22 but the waiving of the penalty allows anyone who is unable to file their self-assessment tax return by the 31/01/22 deadline avoid a £100 late filing penalty as long as they submit their tax return sometime before midnight 28th February 2022.
Furthermore, anyone that is unable to pay their self-assessment tax liability before 31st January 2022 will not receive a late payment penalty if they pay their tax in full, or call HMRC to arrange a payment plan before 1st April 2022. It is important to note that interest will be added on taxes owed from 1st February 2022.
For a second year in a row, due to COVID, an extra month has been offered to those submitting a self assessment tax return and the decision has been summarised by the following 2 statements;
“We know the pressures individuals and businesses are again facing this year, due to the impacts of COVID-19. Our decision to waive penalties for one month for Self Assessment taxpayers will give them extra time to meet their obligations without worrying about receiving a penalty.”
-Angela MacDonald, HMRC’s Deputy Chief Executive and Second Permanent Secretary
“We recognise that Omicron is putting people under pressure, so we are giving millions of people more breathing space to manage their tax affairs.
Waiving late filing and payment penalties will help ease financial burdens and protect livelihoods as we navigate the months ahead.”
-Lucy Frazer, Financial Secretary to the Treasury
If you still need your self assessment tax return done, contact Taxfile now to ensure you get to see one of our tax agents before the deadline.