Four-day reprieve for late filers

Date: 23rd October 2008

Business start-ups which fail to file a paper self-assessment tax return by October 31st may not face a £100 penalty.

This year marks the first time that HM Revenue and Customs (HMRC) has changed the self-assessment tax return scheme, with two separate deadlines replacing the usual one.

Those who do not submit a paper return to HMRC by October 31st will now have three options to avoid the £100 fine.

First of all, they can choose to file their self-assessment tax return online, in which case the deadline is the end of January 2009.

If this is not an option, business start-ups may take their self-assessment form directly to the HMRC's offices by hand - but this must be done by November 4th at the very latest.

Finally, self-assessors who miss the October deadline can apply for a 'reasonable excuse' claim form, with which the HMRC will waive the £100 if it deems the mitigating circumstances to be sufficient.