Self-assessment penalty notices delayed due to Brexit

Taxpayers baffled by delayed penalty notices

Disturbing news from HMRC for over 700,000 taxpayers has just arrived, it isn`t easy to process the fact that you are likely to receive a penalty notice in the recent self-assessment penalty regime, telling you to you owe at least £100 due to missing the recent self-assessment tax return deadline, with a delay of around 3 months.

HMRC will not commence issuing penalty notices until April 2019, yet it was expected to start when filing the deadline hits, which was in February.

Are you sure your Self Assessment tax return is “ACTUALLY” filed?

It becomes increasingly difficult for taxpayers to make sure if their tax return is filed, as this uncertainty weren`t bad enough the only way to ensure over tax return`s sequel is to receive the actual penalty notice, which is a massive vicious circle.

Several disturbances might occur during filing;

– It is not uncommon to experience technical issues during filing online of which may lead to the process` suspension at the final stage.
– Taxpayers may also experience several turbulences owing to their tax agents who are responsible for filing and submitting SA100 returns. Uncertainty over making sure of filing process` finished is just one of them.

In all such cases, taxpayers are often kept in dark until they find out they actually never managed to file their Self-Assessment Tax Returns, on top of that, they are being made subject to pay heavy penalties to HMRC by an awfully delayed letter, telling them they owe at least £100 to HM Revenue & Customs. Is self-assessment penalty appeal an option? But this is the worst-case scenario!

Details of the penalty imposed

Self-Assessment penalties and interests are always two of the worst nightmares of a business owner. It is good to know for a start that if the delay for filing the return is over 3 months, an additional penalty of £10 is charged on a daily basis as of 1st May and if it stays outstanding after six months, the inflicted penalty that is either £300 or 5% of the tax you owe to HMRC. They are equally
agonizing and great amounts to waste.

Brexit Tax Implications 2019

HMRC had the perception of Brexit for over two years by now, yet the tax institution has failed in addressing the situation and the following queries that would result. They appear to accept the fact that this “unexpected” delay in issuing penalty notices is primarily because of lacking resources in its departments, blaming their call centres are being overloaded with Brexit tax impact enquiries.

For this reason, HMRC has displayed a disclaimer by stating the following;

“This year, we expect an increased demand in our call centres as the UK leaves the EU, so we intend to delay the issue of these notices to ensure we can provide the best service to our customers. This will release those staff for EU Exit related work.”

While tax after Brexit is expected to be yet another enigma, the statement above is not really helping to millions who are already in distress.


Inevitably, taxpayers are pushed down in uncertainty in which you can`t even ask the sequels of Brexit and its effects on taxation to the highest authority in tax in the country and what is worse is that the penalty might even go higher than £100.

Tax anxiety is real? But don`t worry, our team of experts is here to give you a hand. Just drop us an enquiry and let`s find a solution about your self-assessment tax return penalties.

SA100 Deadline – Things every taxpayer must know

SA100, in other words, annual self-assessment tax return and is commonly known as the personal tax return is your major compliance work to carry out as a sole trader.

This article aims to help you in having a basic understanding of the concept and to address the frequently asked questions.

Who needs to file SA100 tax return?

  • Self-Employed Individuals: All sole traders dealing in goods or services in their own capacity (not as a Company),
  • Directors of a limited company,
  • All individuals having a gross income of over £100,000 in a year,
  • Individuals receiving income from savings, investment or property,
  • Individuals having foreign income,
  • Any other category of individuals who have received a letter from HMRC for filing SA100 return
  • Other special categories? contact us to find out more.

You don`t need to file SA100 if your only income is through being on payroll unless you`re on dual-income, both on payroll and self-employed. Then, HMRC expects from you to file your SA100 on time by indicating the exact number on your P60.

What do you need to make ready for the SA100 form?

The form shall contain the Self-Assessment UTR, personal details of the assessee such as date of birth, national insurance number, home address etc. It should also contain comprehensive particulars of the total income from various sources such as interests, salaries, dividends, self- employment income, income from rent, the sale of the property, etc. in the prescribed format as per HMRC guidelines. You may also need to fill out various supplementary pages such as:

  1. Self-Assessment Tax Form shall contain the UTR (Unique Tax Reference),
  2. Personal details, such as date of birth, national insurance number, home address, etc.
  3. It should also contain the full scale of the total income from various sources such as interests, salaries, dividends, self- employment income, income from rent, the sale of a property, etc. in the prescribed format as per HMRC guidelines.
  4. You may also need to fill out various supplementary pages such as:
  • Employees or Company Directors – SA102
  • Self-Employment – SA103S or SA103F
  • Business Partnerships – SA104S or SA104F
  • UK Property Income – SA105
  • Foreign Income or Gains – SA106
  • Capital Gains – SA108
  • Non-UK residents or Dual Residents – SA109

When to submit the SA100 return?

The deadline for paper forms for the period 6 April 2018 to 5 April 2019 is 31st October 2019, however, HMRC offers extra time until 31st January 2020 if you prefer to submit it online.

Last but not least, try to remember to make your self-assessment tax return payment on the same day of submission before the deadline.

Self-Assessment Tax Return penalties 2019 are starting from £100 for a 3 months’ delay. The daily penalty rate is £10! So, you might as well end up paying fortunes just for delaying a couple of weeks. Estimate your penalty (here).

Penalties and Deadlines for Self-Assessment Tax Return 2019:

We strongly recommend you don`t leave your registration and self-assessment tax return payment to the last minute. There`s a lot of things on HMRC`s plate due to Brexit and the brand-new initiative called MTD for VAT.

Self-Assessment Registration Deadline for return and payment
Register if you`re sole-trader or self-employed 5 October 2019
Paper Tax Return Midnight 31 October 2019
Online Tax Return Midnight 31 January 2020
Self-Assessment Tax Payment Midnight 31 January 2020

Personal Allowances in 2019:

Personal Allowances from your taxable income has risen from £11,850 to £12,500 as of April 2019. Take a look at the table below, see what percentage you should pay as tax until January 2020 for your personal tax return due date 2019;

Personal Tax 2019 rate;

Note: You start losing £1 of your personal allowance for every £2 you earn above £100k

How quickly can I get this filed with Online Account Filing?

We have a proficient team who is expert in handling the whole process of personal tax return related compliance works in about 2-3 business days once you submit all the necessary data. All we need is the relevant details that are to be submitted in due course, simple and easy-to-understand spreadsheet.

More questions?

Online Account Filing is at your service, we are just an email or a phone call away to assist you further with the detailed information on the subject.

We encourage the readers to contact us for any query.