What is the penalty for late filing of taxes?

The penalty for late filing of taxes in the United Kingdom, as set by HM Revenue and Customs, is structured to encourage timely submissions. When a tax return is submitted after the deadline, HMRC may impose an initial penalty of one hundred pounds, provided the delay is less than three months. If the return is filed more than three months late, additional penalties begin to accrue. Specifically, HMRC may impose a daily penalty of ten pounds for each day that the return remains outstanding, up to a maximum of one thousand pounds. Furthermore, if the return is filed more than six months late, HMRC may apply a further penalty of five percent of any tax due or a fixed amount, whichever is greater. It is important to note that these penalties can quickly add up, so filing on time is strongly advised. For the most accurate and detailed information regarding penalties and deadlines, it is beneficial to consult the official HMRC website, where one can find the latest updates and guidance.