2. Penalties for late filing
You’ll have to pay penalties if you don’t file your Company Tax Return by the deadline.
|Time after your deadline||Penalty|
|3 months||Another £100|
|6 months||HM Revenue and Customs (HMRC) will estimate your Corporation Tax bill and add a penalty of 10% the unpaid tax|
|12 months||Another 10% of any unpaid tax|
If your tax return is late 3 times in a row, the £100 penalties are increased to £500 each.
If your tax return is more than 6 months late
If your tax return is 6 months late, HMRC will write telling you how much Corporation Tax they think you must pay. This is called a ‘tax determination’. You can’t appeal against it.
You must pay the Corporation Tax due and file your tax return. HMRC will recalculate the interest and penalties you need to pay.
If you have a reasonable excuse, you can appeal against a late filing penalty by writing to your company’s Corporation Tax office.
Check recent tax forms or letters from HMRC for your Corporation Tax office address or call the Corporation Tax helpline.