Market leading insight for tax experts
View online issue

CIOT backs ‘suspension’ model for MTD filing penalties

printer Mail

The CIOT supports the ‘suspension’ model for late submission penalties under MTD, which would allow taxpayers a short extension period on a limited number of defaults before they incur a penalty.

The CIOT supports the ‘suspension’ model for late submission penalties under MTD, which would allow taxpayers a short extension period on a limited number of defaults before they incur a penalty.

In its response to HMRC’s consultation, the CIOT suggests a 12-month ‘probation’ period following a missed deadline for quarterly submissions, during which taxpayers would be allowed one further suspension. For annual submissions, the ‘probation’ period would be two years.

Other suggestions include giving taxpayers a minimum 12-month grace period on a tax by tax basis before MTD penalties are applied. See http://bit.ly/2uhFhME.

EDITOR'S PICKstar
Top