VAT late filing penalty

New penalties are to be introduced for the late filing of VAT returns and other indirect taxes, the implementation of which will be staged over a number of years. 

Under the new rules, there will be escalating series of penalties depending on the number of failures within the year. Failure to file a return on time will trigger an automatic £100 penalty and these will increase £200, £300 etc for subsequent failures in the same period. 

Failure to pay tax quarterly will also trigger a penalty period. Although no penalty will apply in the first instance, a second failure will trigger a penalty of 2%, a third failure a penalty of 3% and so on.

If you have any concerns over these new penalties or if you wish to discuss Russell & Co VAT services, please contact Andy Russell.