More than a million miss tax return deadline

According to estimates from the UK's HM Revenue & Customs (HMRC), approximately 1.1 million people missed the deadline for their annual tax returns. The tax authority stated that unless they can provide a reasonable excuse for failing to file on time, they will face a minimum penalty of £100.

Over 11.5 million people completed the self-assessment process, including more than 31,000 who filed in the final hour before the deadline. Individuals required to file tax returns annually include those who are self-employed or have multiple sources of income. Most people also ensure they pay or arrange to pay any tax owed. However, some individuals planning to pay their taxes on Friday may have faced added pressure due to IT issues at Barclays Bank.

For those who missed the self-assessment deadline, financial penalties include: an initial £100 fine, even if there is no tax to pay; an additional daily penalty of £10 after three months, up to a maximum of £900; after six months, an additional penalty of 5% of the tax owed or £300, whichever is higher; and after 12 months, a further penalty of 5% of the tax owed or £300, whichever is higher.

Myrtle Lloyd, HMRC's Director General for Customer Services, stated, "I urge anyone who has missed the deadline to file their return as soon as possible to avoid any further penalties." Furthermore, late payment of taxes also incurs penalties, with interest added on top. Appeals against penalties can be made by filling out a form or writing to HMRC, but the self-assessment must be completed before an appeal can be lodged.

HMRC recently denied claims that it deliberately operates a "poor quality" telephone service in an attempt to push taxpayers to seek help online. Chief Executive Jim Harra stated that the parliamentary committee's accusations regarding its customer service were "completely unfounded." New regulations mean that, for the first time, online platforms such as eBay and Vinted are required to report sales information to HMRC for individuals selling 30 or more items or earning at least £1,700. The tax authority will assess this information against individual tax returns. These rules, which came into effect in January, do not mean these sellers have new tax charges, but rather more information is being shared to ensure they pay the correct tax.