PM148000 - Late filing penalties

There are three different types of penalties that can be charged if a return is outstanding after the return due date or is filed late and only apply if a notice to file the return or a return containing the notice is given. As a voluntary return will always be made on or before the filing date it will never be late.

The three types of penalties are:

  1. Late filing fixed penalty (see SAM61220): £100 will be charged to each partner.
  2. Late filing daily penalties (see SAM61230): If the return is not filed three months after the return due date, daily penalties will start to accrue. Daily penalties will be charged on each partner at £10 per day up to a maximum of 90 days.
  3. Late filing (tax geared) penalty (see SAM61240): Tax geared penalties are charged at 6 months and 12 months from the filing date if the return is not filed by this date. Where a partnership return is not received or is late, the penalty is restricted to the statutory minimum of £300 in all cases but, again, this is chargeable on each partner.

An appeal in connection with a penalty for failing to file a partnership return on time may be brought only by the nominated (representative or reporting) partner or their successor. Any such appeal is treated as a composite appeal made on behalf of all the relevant partners and the nominated partner is treated as if he or she were the partner liable to each penalty. The nominated partner can appeal against HMRC’s decision that a penalty is payable and/or against the amount of the penalty payable. Further guidance can be found at SALF506A.