On Monday 25th January, HMRC announced that self-assessment late-filing penalties will be waived for returns filed before 1st March.
This comes in response to warnings raised by professional bodies, including the Chartered Institute of Taxation (CIOT), that taxpayers would struggle to meet the deadline due to the impact of Covid-19.
The deadline for 2019-20 self-assessment returns is 31st January 2021. Normally, a return filed after this date would attract an automatic £100 late-filing penalty. HMRC will now waive this penalty, as long as returns are filed electronically on or before 28th February 2021.
Whilst this will be a welcome relief for many, it is important to note that this is a relaxation on the first late-filing penalty only, and anyone who can file their return on time by 31st January 2021 should do so.
If you need any support submitting your tax return, please do not hesitate to get in touch with our specialist tax team.