On 25 January HMRC announced that there would be no Self-Assessment late filing penalty for those who file online by 28 February 2021. It was clear that the extended deadline would apply to forms SA100 (the tax return for individuals), and that those returns filed on paper in February will not benefit from the late filing advantage. Self-Assessment customers will not receive a penalty for their late online tax return if they file by 28 February, HM Revenue and Customs’ (HMRCs’) Chief Executive Jim Harra has announced.
Taxpayers who cannot afford to pay their tax bill on time can apply online to spread their bill over up to 12 months. But they will need to file their 2019 to 2020 tax return before setting up a time to pay arrangement, so HMRC is encouraging everyone to do this as soon as possible.
Taxpayers are still obliged to pay their bill by 31 January. Interest will be charged from 1 February on any outstanding liabilities. Customers can pay online, or via their bank, or by post before they file. If you’ve already filed your Self-Assessment tax return, you might be able to pay the bill in instalments.
HMRC have now confirmed its position in relation to other Self-Assessment returns. HMRC will apply the leniency to forms SA700 (Non-resident Company Income Tax Return) and SA970 (Tax Return for Trustees of Registered Pension Schemes) filed in February. These will all be filed on paper because there is no online alternative and their paper deadline is 31 January.
If the return is filed online, HMRC will also apply the leniency to forms SA800 (Partnership Tax Return) and SA900 (Trust and Estate Tax Return). The paper deadline for these returns was 31 October and so if they are filed on paper in February they will not benefit from the easement.
