Until now, HMRC have refused to concede on postponing the 31 January 2021 tax return filing deadline, despite concerns from taxpayers and pressure from professional bodies.
Today HMRC announced that Self-Assessment taxpayers who file their 2019/20 tax return late will not receive a late filing penalty, provided they file the return online by 28 February 2021.
HMRC are still encouraging taxpayers who have not yet filed their returns to do so by 31 January 2021 if possible, as this will enable them to calculate their tax bill and assist setting up a payment plan if required.
Taxpayers are still obliged to pay their tax bill by 31 January 2021 and interest will be charged from 1 February on any outstanding liabilities.
By not charging late filing penalties for late online tax returns submitted in February, Self-Assessment taxpayers will be given the breathing space they need to complete and file their returns, without worrying about receiving a penalty.