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Blog Tax Self Assessment penalties: Everything you need to know

Self Assessment penalties: Everything you need to know

9 min. read
22 Oct 2021
22 Oct 2021
9 min. read

Type of behaviour

Unprompted disclosure

(Cost as % of PLR)

Prompted disclosure

(Cost as % of PLR)

Non-deliberate

0-30% (within 12 months)

10-30% (12+ months)

10-30% (within 12 months)

20-30% (12+months)

Error due to negligence

0-30% in the first 12 months (10-30% after that)

0-30% in the first 12 months (20-30% after that)

Deliberate error

20-70%

35-70%

Concealed deliberate error

30-100%

50-100%

Date

Penalty

On the penalty date 

Initial fine of £100

3 months late

Charges of £10 per day, up to a maximum of £900 

6 months late

Further penalty of £300 or 5% of the tax due (whichever is greater)

12 months late

Another £300 or 5% of the tax due (whichever is greater)

Date

Penalty

30 days late

5% of the tax due

6 months late

Additional fine of 5% of the tax due

12 months late

Additional fine of 5% of the tax due

Type of behaviour

Unprompted disclosure

Prompted disclosure

(Cost as % of PLR)

Genuine error

No penalty

No penalty

Error due to negligence

0-30%

15-30%

Deliberate error

20-70%

35-70%

Concealed deliberate error

30-100%

50-100%

Date

Penalty

Less than 15 days late

No penalty

Over 15 days late

2% of tax outstanding

Over 30 days late

2% of the tax outstanding after day 15, plus 2% of the tax outstanding at day 30. After this date, the penalty will accrue at 4% per annum

Submission frequency

Penalty threshold

Annual

2 points

Quarterly (including MTD for ITSA)

4 points

Monthly

5 points

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