HMRC provides further detail on late filing reprieve
At the start of January 2022, HMRC announced an extension to the tax return penalty trigger dates. It's now released further details concerning agents delayed due to COVID, partnership returns and more. What do you need to know?
Agents. Many taxpayers use accountants or tax advisors (collectively referred to as agents) to file their returns. If a taxpayer has taken all reasonable steps to get their affairs in order to allow their agent to meet the filing deadline, and that agent has been delayed due to COVID-19, then the agent delay may constitute a reasonable excuse.
Partners. It’s not just SA100 returns that are included in the penalty reprieve. Individual partners will also not be charged a late filing penalty in respect of a 2020/21 partnership return (SA800) as long as the return is filed online on or before 28 February.
Tax credits. Tax credits customers should still make their declarations by 31 January; otherwise, the tax credits will be calculated based on the information held by HMRC. However, if the declaration is submitted by 28 February, HMRC will use its discretionary powers to re-make the decision if the delay was due to COVID-19.
Report by phone. Note that figures reported after 31 January 2022 may need to be reported by phone (0345 300 3900) and not via the online system.
Mixed funds. Finally, the deadline for nominations of special mixed funds has also been moved to 28 February 2022.
Related Topics
-
Capital gains tax break for job-related accommodation
You’re in the process of selling a property that you bought as your home but because of your job have never lived in. You’ve been told that you’ll have to pay tax on any gain you make, but might a special relief get you off the hook?
-
Should you revoke your 20-year-old option?
Your business has let out a building to a tenant and it is now just over 20 years since you opted to tax the property with HMRC. Should you revoke it so that your tenant no longer needs to pay VAT?
-
Chip shop owner fined £40k for hiring illegal worker
A Surrey fish and chip shop owner has been left in shock after being fined £40,000 for allegedly employing someone who didn’t have the right to work in the UK, even though he conducted a right to work check. Where did this employer go wrong and what can you learn from it?