Late return

Penalties for failure to file a return

The taxpayer was required to submit a partnership return for 2011-12. HMRC said a paper return was received on 7 August 2013 and produced a print-out from its computer systems in support. The taxpayer said he had filed the form on 21 December 2012 – after the 31 October deadline for paper returns – so the tax office must have lost it. He appealed against the late-filing penalties.

The First-tier Tribunal noted the taxpayer’s evidence. His accountants said they were aware of other clients’ returns that had been sent to the tax office in question but not received. They also produced a letter dated 19 December 2012 enclosing the return to the taxpayer instructing him to sign it and post it to the Revenue.

The letter also warned the taxpayer that a late-filing penalty would be imposed because he had missed the 31...