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HMRC Starts Points‑Based Regime as £100 Fines Go Out for Missed 31 January Returns

The points-based system is in limited trial before a wider April rollout.

Overview

  • HMRC began a limited January trial of a points‑based late‑filing regime for Making Tax Digital customers with about 100 participants.
  • One point is issued per missed deadline and only persistent late filers face a £200 penalty once thresholds are reached, according to HMRC.
  • Thresholds are two missed annual deadlines within two years or four missed quarterly deadlines within two years before the £200 fine applies.
  • Late‑payment penalties move to two charges: a percentage charge after 30 days and a daily‑accruing charge from day 31 on any unpaid tax.
  • Around one million people missed the 31 January filing date, with automatic £100 fines now going out and an industry estimate putting potential fees near £100 million.