HMRC Tax Return Initiative
The 2nd of October saw the closing date for the Tax Return Initiative which offered lower fines and charges on any self assessment returns outstanding from 2009/10 or earlier.
The Tax Return Initiative by HMRC encouraged those taxpayers who had not made a self assessment return for 2009/10, or any earlier years, to do so under better terms and lower penalties than if HMRC came to them first. It was particularly aimed at those in the 40% tax bracket or above. HMRC claimed significant penalty savings for those who participated. You needed to complete and submit your late tax return(s) and pay what you owe (or claim any repayment that might be due) by 2 October 2012 to take part.
After October 2nd, HMRC will use its legal powers to pursue outstanding returns and any unpaid tax and NICs. Penalties of up to 100 per cent of the tax due, or even criminal investigation, could follow. If you missed the closing date it would be worth your while contacting HMRC to see if you could avail of better settlement terms, rather than waiting for them to come to you.
Help is available from HMRC by calling the Tax Return Initiative helpline on 0845 601 8818.