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Taxpayer’s ‘involuntary’ self-assessment registration was a special circumstance in late filing penalty appeal

By Mark McLaughlin, June 2019

The appellant had a reasonable excuse for her late filing of a self-assessment return for part of the period of default and her ‘involuntary’ registration for self-assessment was a special circumstance, resulting in all late filing penalties being cancelled.  
 
The appellant was issued with a notice to file a self-assessment return for the tax year 2016/17 on 6 April 2017. The return was filed electronically on 15 August 2018. HM Revenue and Customs (HMRC) assessed fixed (£100), daily (£900 in total) and six-month (£300) penalties for the late submission of the return. The appellant appealed. 
 
When notifying the appeal to HMRC, the appellant’s adviser pointed out that the appellant had spoken to HMRC’s helpline ‘some time ago’ and was told that she did not have to file a tax return unless any tax was due over and above her PAYE liability. The adviser

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