Deadline for self-assessment tax return (SATR) for the year 2019-2020 is 31 January 2021.

Anyone who is self-employed, regardless of making profit or a loss, has to submit SATR to HMRC.

Penalties if you don’t submit your return on time:

  1. From 01 February (even 1 day late) – £100.00
  2. From 01 May (3 months late) – £10 per day, up to £900.00
  3. From 01 August (6 months late) – additional £300.00
  4. From 01 February (12 months late) – another £300.00

Plus, you have to pay interest on amount due.


Mr Smith forgot to submit SATR for the tax year 201-2019. He had time to do it until midnight 31 January 2020. However, he simply forgot. Today, 28 October 2020, he contacts me and asks to do he SATR.

Therefore he will have to pay the following penalties:

  • £100.00 for the missed first three months (after 01 February 2020)
  • £900.00 for the next missed 3 months (after 01 May 2020)
  • £300.00 for another 3 months (after 01 August 2020)

As a result Mr Smith must pay £1300.00 as penalties, plus any tax due.

In addition, if he was to leave it after 01 February 2021, he would have to pay additional £300.00 penalty.

Mrs Smith as a builder was expecting to get refund of the overpaid CIS. Now not only he may not get anything, but he may have to as well pay more due to penalties.

How to appeal?

You can appeal against the penalty under reasonable excuse. List of reasonable excuses can be found on HMRC website.

Remember – if you need accountant, he needs at least 7 working days to register as your agent plus you have to remember then at the last minute HMRC system is very busy so you return may not be received on time.

In conclusion – DO NOT leave it to the last minute or you may be penalized.

Need help?

Need an accountant? Call me now!

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