Overview
- Automatic £100 fixed penalties started Sunday for returns missed after 31 January, applying even if no tax is owed.
- Penalties escalate to £10 per day after three months, with further charges of 5% of tax due or £300 at six and twelve months.
- Unpaid tax accrues interest at about 7.75%, and Martin Lewis advises submitting a rough return and paying now to curb interest.
- HMRC says reasonable excuses may lead to penalty waivers, and payment plans are available for those struggling to pay.
- Access pressures persist, with helplines closed on Friday and not reopening until Monday, webchat offered on Saturday, and more people drawn into tax bills due to frozen thresholds and over 1.3 million recent tax‑due letters.