Penalties for late filing
You'll have to pay penalties if you don't file your accounts with Companies House or tax return with HM Revenue and Customs (HMRC) by the deadline.
Late accounts for Companies House
Your company will have to pay a penalty charge if you file your accounts after the due date. The penalty is doubled if your accounts are late 2 years in a row.
|Time after the deadline||Penalty (for private limited companies)|
|Up to 1 month||£150|
|1 to 3 months||£375|
|3 to 6 months||£750|
|More than 6 months||£1,500|
Appeal against a late filing penalty
If you want to appeal a penalty you must give a reason why you couldn't file your accounts on time.
You must prove the circumstances were both out of your control and made it impossible for you to meet the deadline, eg a fire destroyed your records a few days before your accounts were due.
You can't appeal by claiming:
- your company is dormant
- you can't afford to pay
- it was your accountant's (or anybody else's) fault
- you didn't know when or how to file your accounts
- your accounts were delayed or lost in the post
- the directors live or were travelling overseas
You can send a letter to the address on the front page of the penalty invoice, or send an email including the penalty reference.
You'll get a response within 10 working days and the penalty will not be collected while your appeal is being considered.
If your appeal is rejected you can write to the Senior Casework Unit (SCU) in the Late Filing Penalties Department at the Companies House office:
Edinburgh Quay 2
Late Company Tax Return to HMRC
|Time after the deadline||Penalty|
|1 day late||£100|
|3 months late||Another £100|
|6 months late||HMRC will estimate your company's tax bill and add a penalty of 10% the unpaid tax|
|12 months late||Another 10% of any unpaid tax|
If your returns are late 3 times in a row, the £100 penalties are increased to £500 each.
If your return's more than 6 months late
If your Company 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 send your Company Tax Return. HMRC will recalculate the interest and penalties you need to pay.
If you have a reasonable excuse, you can appeal against a 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 helpline.