HMRC adopts lenient approach to late tax returns

Date: 4th February 2008

The malfunction of the online filing system for self assessment tax returns has meant that taxpayers will not be penalised for submitting their details late, it has emerged.

HM Revenue & Customs (HMRC) was forced to extend the deadline to midnight on Friday February 1st after its website crashed on Thursday, with hundreds of thousands of people rushing to file their returns in time.

The tax body has now revealed that people who completed the process over the weekend will also be spared the £100 penalty due to the technical problems, the BBC reports.

Adrian Huston, a tax consultant based in Belfast, told the news provider that HMRC should consider new ways of preventing the last-minute rush to file tax returns before the deadline.

Speaking about the need for increased investment in the online filing system, he added: "The only other thing they can do is offer people an incentive to file earlier."

According to figures from HMRC, 5,851 people filed tax details on Saturday, with 1,337 completing their returns on Sunday.

The Times commented on Friday that the failure of the online filing system was another setback for the government's "ambitions to computerise public services".