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URGENT REMINDER: HMRC encourages the 3.8 MILLION to file tax returns or face £100 fine

Image credit: HMRC

As the 31 January Self Assessment deadline looms, a staggering 3.8 million people across the United Kingdom have yet to file their tax returns. HM Revenue and Customs (HMRC) is urgently calling on these individuals to act swiftly to avoid the imminent £100 penalty.

The tax authority expects to process over 12.1 million tax returns for the 2022 to 2023 tax year. To date, over 8.3 million taxpayers have dutifully completed their online returns, but a significant number remain outstanding.

Myrtle Lloyd, HMRC’s Director General for Customer Services, said: “If you are a Self Assessment taxpayer, now is the time to take action and get your return done. People can familiarise themselves with the process by checking out HMRC’s online resources on GOV.UK.

“Once a tax return is submitted, it’s easy to find out what’s owed and to pay online or using the HMRC app. Just search ‘pay my Self Assessment’ on GOV.UK to find out more.”

The online system allows taxpayers to quickly ascertain the amount owed and offers various payment methods, including an option to use the HMRC app. For those facing financial constraints, HMRC has provisions for a Time to Pay arrangement, applicable to those owing less than £30,000.

Taxpayers are reminded to include their bank details in the return to facilitate quick and secure repayments from HMRC, eliminating the need for cheque issuance.

The penalties for late filing are substantial. They include an initial £100 fixed penalty, escalating to daily charges and percentage-based fines as the delay extends. HMRC has, however, stated its willingness to consider reasonable excuses for delays, potentially waiving penalties for those with justifiable reasons.

In addition to late filing penalties, taxpayers should be aware of the fines for delayed payments, which increase incrementally over time. Interest is also charged on late payments.

Finally, individuals who no longer require filing a Self Assessment return for the 2022 to 2023 tax year must inform HMRC to receive a withdrawal notice, thereby avoiding penalties.


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