Not exceptional

The taxpayer filed his 2010/11 tax return on 13 August 2012 almost eight months past the deadline which led to HMRC imposing late-filing penalty of £100 90 days’ daily fines totalling £900 and a six-month late-filing penalty of £300.

The taxpayer claimed he had a reasonable excuse: he had been unemployed for several months between 2009 and 2011 his mother had been diagnosed with breast cancer and his wife had been unwell.

HMRC said the circumstances constituted neither reasonable excuse nor special circumstances. He was employed during the period of delay – January to August 2012 – and the health problems of his mother and wife while cause for concern were not exceptional factors.

The First-tier Tribunal noted the fines were “significant” at £1 300 in total and that no tax was due from the taxpayer for 2010/11 – but he should...