Self assessment late filing daily penalties waived

12 October 2020: HMRC will not charge daily penalties for late filing of 2018/19 tax returns as an easement during the coronavirus pandemic.

Daily penalties will not be charged where someone has been late filing their 2018/19 self assessment tax return. HMRC says that this is in recognition of the exceptionally difficult circumstances many taxpayers faced due to the impact of the COVID-19 pandemic, particularly during the period when the daily penalties accrued.

The six-month and 12-month penalties will be charged as usual for late 2018/19 tax returns. HMRC has also confirmed that it expects returns to be filed on time where possible, but it will consider coronavirus as a reasonable excuse for missing return deadlines. HMRC has also indicated that it will keep operational decisions under review.

Daily penalties are usually charged at £10 per day for each day the return is more than three months late, for a maximum of 90 days. A further penalty of £300 (or 5% of the tax due if greater) is charged when a return is six months late and again when the return is 12 months late.