UKH

I was self-employed from July 2010 to November 2012. I stopped self-employment in November 2012 as I was working for a different company under PAYE. I notified HMRC that I was no longer self employed and filled out a tax return for the remainder of the year.

I have just received a "late tax return notice of penalty assessment" for tax year ending 5 April 2014. I have been fined £100 for not completing a tax return for a tax year that I paid ALL my tax through PAYE.

As far as I can tell I didn't have to submit a tax return for that tax year so why am I being fined!?!? I have just filled out the appeal form and assume HMRC will withdraw the penalty???

has this happened to anyone else? any advice?

In reply to Chris Ridgers:

I stopped being self employed about 7 years ago and still get asked to submit tax returns despite having nothing to pay since then and telling them etc. The bottom line is if you got sent a notice to complete a tax return then you *had* to submit it, even if you had nothing to pay.

If you didn't get the notice for some reason then maybe they will be forgiving?

In reply to Nexonen: Thanks for the reply. So even though I am in full time employment I still have to complete a tax return each year???

I am not able to send a tax return through my online account anymore and I'm going to keep getting fined £10 a day until THEY allow me to send them a tax return!!!

In reply to Chris Ridgers:
I had the same problem this week. I had to pay the fine. My mistake really, considering I was still in self-employment until January 2014. Basically you have three months from the filing deadline to get your tax return in, otherwise they'll start fining you the £10.00 per day. However, I think they cap those charges for people with non payable tax/lower income earners at another £100.00... but I could be imagining that (that at least applies for corporation tax for limited companies). So, as long as you've paid your first £100.00 fine, you'll have no problems provided you file your tax return by April 30th (which is three months from the online filing deadline).

HMRC also did not send me a notice to file a tax return... I told them this and I was told that 'they don't always send out notices if you use the online filing function'. Seems a little like bullshit... but whatever. No choice but to play the game occasionally!

In reply to Chris Ridgers: Ok, not as bigger problem as I thought! just got of the phone to them and they have confirmed that I did not need to submit a tax return and they have cancelled the penalty's.

In reply to Chris Ridgers:

Good to hear! Lucky you

HMRC can be pretty helpful. It's like a benevolent grandmother in comparison to the US IRS which is like a domineering and cruel father wanting to swallow you up and spit you in the bin.

In reply to Chris Ridgers:

just give them a ring and they'll sort it easily. I had a much weirder problem that effectively boiled down to the same thing - I didn't need to do an assessment. They cleared the previous couple of years and just asked me to write out one (which they gave me all details for) for a pre 2010 one because it was on a different system and was just in case. Guy was incredibly helpful and a potential nightmare turned out to be a 15 min call.

getting through on the phone....that's the tricky bit.

In reply to Scarab9:



Yeah, get a good book to read or interesting website and try not to fall asleep whilst the numbing music and spiel drone on. Pick your time and use the 0300 number, its a lot cheaper than the old one.

I have been self employed since 1978 with no problems apart from two tax investigations just after sacking two accountants, or is that just a coincidence?
And the other year when they mixed up my details with somebody the same name and DOB, who had emigrated, insisted they owed me £5000+ and I did not need to file a return. What a faff sorting that out on the phone when the computer shows the IR the wrong data.
I reckon they are so overloaded with work, mistakes are far more common, especially with a bit of fat finger.
If you send a letter, use recorded delivery, all my second class post letters seem to have gone mysteriously astray.