HM Revenue & Customs have issued a warning to taxpayers who missed the deadline for filing a paper return for 2009-10. To avoid a £100 fixed penalty and any further interest charges on late payments, taxpayers must file online before the deadline of 31st January 2011.
The deadline for filing a paper copy tax return was 31st October 2010, and anyone who has missed that date could be liable to receive a penalty of £100. To avoid this penalty it is possible to file online, but to do this, taxpayers must register with HMRC. It will take approximately seven days to receive an Activation Code. You will be given a user ID as soon as you have registered. After completing your registration after receipt of the Activation Code, you will be able to log onto HMRC’s website to file your tax return online.
Each year HMRC issues over 9 million self assessment tax returns to taxpayers. In 2009 6.4 million taxpayers managed to file their tax returns online within the deadline of 31st January. HMRC advises taxpayers to keep their User ID and password safe at all times, especially if you are filing close to the deadline, as replacement passwords may take seven days to arrive.
Businesses and individuals who want to avoid late filing penalties are advised to employ the services of a reputable low cost accountants who will ensure all deadlines are met. If you prefer to file online you could take advantage of online accountants to maximise efficiency.
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