Warning over tax return penalties

Anyone whose Self Assessment return is more than three months late will now be charged a further £10 penalty for each day it remains outstanding, up to a maximum of 90 days. This is on top of the £100 late-filing penalty they have already received. This means people who file their 2010/11 return online on or after May 1 will be liable to daily penalties, as the deadline for these was January 31. Daily penalties for paper returns began on February 1, as paper returns were due by the earlier deadline of October 31. Those who are self-employed, a company director, a trustee or receiving foreign income need to complete Self Assessment tax returns.