The taxpayer did not deliberately withhold information in filing tax returns late but did not have a reasonable excuse for the delay in filing the returns and making the relevant tax payments.

HM Revenue and Customs (HMRC) issued a letter to the appellant on 5 October 2016, as a compliance check of a company of which the appellant was a director showed that tax returns were required for 2010/11 and 2012/13. The appellant’s self-assessment returns for those tax years were filed on 12 December 2016.

HMRC issued late filing penalty determinations (under FA 2009, Sch 55) for the tax years 2010/11 and 2012/13 based on deliberate behaviour by the appellant. HMRC also issued late payment penalties. The appellant appealed. 

The appellant’s evidence was that she ran restaurants owned by the family business. The restaurants were owned by a company, of which she and her husband were directors. The company was sold in 2013.