Late filing penalties decision a sensible solution, says contracting specialist
Nova Contracting director Marcus Green said the news, from an HMRC internal memo leaked to the Daily Telegraph, would be welcome news for everyone across the UK who deal with their own self assessment tax returns.
He added, “This is a sensible solution to a perennial problem for individuals as well as contractors and company directors who choose to file their own returns. HMRC has said there will need to be a & lsquo;reasonable excuse’ for the late filing, such as ill health or computer failure and it will still charge interest on late payment, but the £100 fixed penalty for missing the filing deadline will be waived in most cases.”
“We’re finding that more and more contractors are choosing to use services of companies like us, in order to avoid issues such as late filing in the first place, but where they do opt to look after their own tax returns, this is a clear signal that HMRC is no longer going to use a sledgehammer to crack a nut.”