Chapter 11 - Self Assessment Flashcards
If an individual becomes chargeable to income tax / capital gains for the first time, how many months do they have to notify HMRC?
6 months of the end of the year in which they became chargeable
What will the penalty be for a deliberate & concealed failure?
Maximum 100% of potential lost revenue
What will the penalty be for a deliberate but not concealed failure?
Maximum 70% of potential lost revenue
What will the penalty be for any other case (such as lack of care)?
30%
What is the deadline for submitting a paper tax return?
31 October following the end of the tax year
What is the deadline for submitting an online tax return?
31 January following the end of the tax year
True or false
The online return can be filed within 6 months of the date of issue of notice to file
False
The online return can be filed within 3 months of the date of issue of notice to file
True or false
Self-employed people with turnover less than £85,000 & people in receipt of property income less than £85,000 can submit a short tax return
True
What is the initial penalty due on a late return?
£100
Where a return is more than 3 months late, what is the daily penatly?
£10
Where a return is more than 6 months late, what is the additional penalty?
5% of an liability to tax OR £300 (if greater)
Where a return is more than 12 months late, what is the additional penalty?
5% of an liability to tax OR £300 (if greater)
If the late return is deliberate but not concealed, what is the max penalty after 12 months?
70% OR £300 if greater
If the late return is deliberate & concealed, what is the max penalty after 12 months?
100% OR £300 if greater
True or false
HMRC have the right to amend the tax payer return within 6 months of the date of receipt
False
It is within 9 months
Within how many months can a taxpayer amend an already submitted return?
12
What is the normal time limit for an enquiry into a tax return?
12 months after the day on which the return was delivered
If the submission is late, what is the enquiry deadline extended to?
The end of the calendar quarter following the anniversary of the actual filing date
30 April
31 July
31 October
31 January
Within how many days can a taxpayer appeal an enquiry amendment?
30
For how many months are taxpayers required to obtain records of income & capital gains?
22 months after the end of the tax year in which they relate
For how many months are self-employed tax payers required to obtain records of income & capital gains?
5 years & 10 months
What is the maximum penalty for failure to maintain records?
£3,000
True or false
Penalties apply even where the person has taken reasonable care
False
