Business Tax, Personal tax, Personal Taxation, tax returns

Why do animals, natural disasters and spouses always feature in late filing tax return excuses?

By Lesley Stalker

Shortly into the New Year the self assessment tax return season is well underway, and it is as if Christmas never happened! Anyone who is required to submit a personal self assessment tax return for the 2013/14 tax year must do so online by 31st January 2015. They must also pay any balance of tax owing for the year, plus in many cases a payment on account towards their 2014/15 tax liability. Failing to submit the return on time will result in an automatic £100 late filing penalty and failing to make payment will result in an interest charge. Further late filing and payment penalties accrue if the delays continue.

Our advice is to take the necessary steps to ensure you can file on time and if you need expert help, get it as soon as possible. It is possible to appeal against the late filing penalty and taxpayers with a ‘reasonable excuse’ can challenge HMRC. But the reasonable excuse bar is a high one, is difficult to achieve and undoubtedly a very subjective issue.

In a world of online submission, postal delays no longer constitute reasonable excuse, and in a world of self assessment, nor unfortunately does relying on your professional adviser! Reasonable excuse can include incapacitating illness, bereavement or absence of records due to fire or flood for example, but only if the return is filed immediately the excuse no longer applies.

HMRC has just announced the best excuses received for late filing last year. They might be good, but interestingly, none of them actually achieved the ‘reasonable excuse’ hurdle in HMRC’s eyes. I wonder why!

Top January 2014 late filing excuses

My pet dog ate my tax return and all the reminders.

I was up a mountain in Wales, and couldn’t find a postbox or get an internet signal.

I fell in with the wrong crowd.

I’ve been travelling the world, trying to escape from a foreign intelligence agency.

Barack Obama is in charge of my finances.

I’ve been busy looking after a flock of escaped parrots and some fox cubs.

A work colleague borrowed my tax return to photocopy it, and didn’t give it back.

I live in a camper van in a supermarket car park.

My girlfriend is pregnant.

I was in Australia.

Some things never change

We thought it would be interesting to compare this list with the excuses given the previous year. There are some startling similarities, suggesting that some things never change. For instance, problems with animals and natural disasters feature heavily and people appear to think that if they are not at home when the deadline falls, this constitutes a reasonable excuse. Equally, some people believe having unusual living arrangements will get them off the hook. And clearly, the practice of trying to pass the blame onto others has remained consistent although the individuals carrying the blame are getting much more high profile; whereas last year we had excuses derived from problems with spouses and accountants, this time around, the blame is shifting to foreign intelligence agencies and Barrack Obama!

Top January 2013 late filing excuses

My pet goldfish died.

I had a run-in with a cow.

After seeing a volcanic eruption on the news, I couldn’t concentrate on anything else.

My wife won’t give me my mail.

My husband told me the deadline was 31 March and I believed him.

I’ve been far too busy touring the country with my one-man play.

My bad back means I can’t go upstairs. That’s where my tax return is.

I’ve been cruising round the world in my yacht, and only picking up post when I’m on dry land.

Our business doesn’t really do anything.

I’ve been too busy submitting my clients’ tax returns.

Cost of HMRC penalties

In summary then, if you are required to submit a self assessment tax return on 31st January and do not meet the deadline, you will be penalised with a late filing penalty and interest will be payable on the late payment of the tax due. If the late payment continues beyond 28th February, a 5% penalty will be added to the interest due, and if the filing delay continues, additional penalties will be added.

It’s well worth being on time with your tax return!

If you would like help completing your 2013/14 self assessment tax return, please contact Lesley Stalker by emailing las@rjp.co.uk.

How to get onboard with RJP

Talk to us

Have an initial discussion with a member of the RJP team to identify ways we can enhance your business's growth with our comprehensive support and strategic advice.

Hassle-free migration

Choose RJP and we'll smoothly manage all transitions, handling paperwork, coordinating with your current accountant, and ensuring no deadlines are missed for a worry-free experience.

A pathway to growth

Finally, we will send you the required documents to sign and return, leaving you to continue leading your business, backed by our abundant, responsive advice and support.

2024 Budget in depth – Key changes to capital gains tax

Business Services, Business Tax, Personal Taxation

Budget 2024 In depth – Inheritance tax changes

Business Services, Business Tax, Personal tax

Budget 2024 – What are the new tax rules for non-doms?

Personal tax, Probate and Inheritance Tax

Here’s what our clients have to say

Hear directly from our clients about how RJP's personal, straightforward approach has made all the difference in their business and personal success.

"I just wanted to drop you a short note to say how grateful I am for the support that RJP has provided over the past 4 weeks while our Financial Controller was away. I struggle to comprehend how much work your staff get through during their weekly visits and they are always a pleasure to have around the office."

"I wanted to write and express our gratitude for your help and hard work in getting Probate through and settling all the taxes. I am so pleased that we selected RJP, as your professional help and updates throughout this process have been invaluable. If at any time in the future Probate assessment may be needed, you will be our first port of call. Once again, many thanks to the whole team."

"I would like to take this opportunity to thank you very much for the amazing job you have done navigating us through this whole process. My family and I also really appreciate the care and compassion demonstrated by you and your team in every dealing. Our thanks to everyone."

"Just a quick e-mail from me to thank you for achieving the target for producing the draft accounts – it is very much appreciated and gives a first class impression of your firm. Many thanks."

"RJP provide our company with a complete service which takes the stress and strain away from the day to day running of our accounts! Their understanding of our business and their patience and advice is invaluable."

Get the latest tax tips to your inbox every month

FAQs

At RJP, we understand that keeping a finger on the pulse of your business's health is crucial. That's why we offer management reporting services—think of them as a regular health check for your company. These insights show you the real-time performance of your business, helping you make informed decisions to nurture and grow your enterprise.

We love seeing your business flourish! Growth and improvement are at the heart of our practical advice. From the ins and outs of everyday operations to big-picture strategic moves, we're here to offer clear, actionable steps that can propel your business forward.

We know dealing with the issue of compliance and auditing can be less than thrilling. That's exactly why we're here—to handle the complex stuff so you don't have to. We offer comprehensive compliance services, ensuring everything is up-to-date without you having to wade through a sea of regulations.

Absolutely! There's a world of opportunity out there to support your business financially, and we're well-equipped to be your guide. We can help you understand and access HMRC’s tax relief schemes that are relevant to you and your business, making sure you're not missing out on any potential benefits.

When you need us, we're just a call or an email away—no question is too small or too large. We're known for our quick responses and our fixed fees mean you can reach out without worrying about unexpected costs. Plus, we always keep things simple and straight to the point. We're not just your accountants; we're part of your team, ready to support both your business and personal needs.