Revenue set to fine taxpayers £418 million for late returns, errors and unpaid tax

Confidentially search for details of independent financial advisers close to where you live or work from around 9,000 IFA locations UK-wide.

With only 22 days to go - worried about meeting the January 31^st tax deadline?

Call 0800 085 3250 or visit www.taketaxaction.co.uk and get an IFA to help sort out your financial position

Despite the £100 automatic late payment charge and the £60 a day crackdown on late self-assessment forms, research from IFA Promotion, the organisation promoting the benefits of independent financial advice, estimates taxpayers are set to gift the taxman an unnecessary £418 million this year in fines generated by late returns, miscalculations and surcharges on unpaid tax* - £6 million more than estimations for last year.

Failure to get forms to the revenue by the fast-approaching January 31^st deadline will incur an initial £100 late payment charge, as well as a hefty £60 a day additional fine. And if the return is still overdue in July, a supplementary penalty of £100 will be added additional to the daily charges. Furthermore, a penalty of up to £3,000 may be charged for each year in which inadequate records are kept.

David Elms, Chief Executive at IFA Promotion, said, “The taxman acts tough on tardy returns and unpaid tax, so if you’ve received self-assessment forms from the Revenue and haven’t done anything about it, act now!  The initial £100 fine for late returns is automatic; but why waste this sum and potentially much more, when expert help is at hand to ensure your forms arrive on time and in order?”

IFA Promotion’s research calculates that money will be wasted as follows:

-          £89 million in fines for forms returned past the January 31^st deadline

-          £308 million through fines for mis-calculations made on tax forms

-          £21 million in surcharges for unpaid tax from previous years.

In 2004, it was estimated that a staggering 879,000 self-assessment forms were received after the January 31^st deadline.  Of these, the vast majority incurred a penalty of £100, and many more were subject to further surcharges.

Elms concluded, “For tax advice see an accountant, but to ensure all your financial information is in order and that you’re being as tax-efficient with your personal finances as possible, see an independent financial adviser.”

To help people take control of their finances, IFA Promotion is offering a FREE guide to tax-efficiency.  For your copy and details of local IFAs, visit www.taketaxaction.co.uk or call the hotline on 0800 085 3250

-ends-

* All figures provided by independent research agency, RAKM, for IFA Promotion.  With detailed research enquiries call Paul Hersey, RAKM, on 01737 216 940.

For further information, please contact:

David Elms                                               Liz Willder/Holly Godden

Chief Executive                                        Lansons Communications

IFA Promotion                                         020 7294 3677/020 7294 3674

020 7833 3131

    For expert comment or case studies from over 200 media-friendly IFAs, journalists should call IFA Promotion’s Media Services hotline on 020 7294 3682 or search online in ‘Media Services’ at www.unbiased.co.uk

1.  Independent Financial Adviser Promotion

IFA Promotion was established in 1989 to promote the value and accessibility of independent financial advice to the public.  It represents around 9,000 firms of independent financial advisers across the UK and is sponsored by 32 leading financial institutions. In the past 12 months, over 530,000 consumers and businesses used IFA Promotion to find local independent financial advice.

IFA Promotion believes Independent financial advice should be:

·        Affordable.  The option to take independent financial advice should be available, by right, to all - not just the wealthiest in society.

·        Convenient.  IFAs should be available in the location of the consumer’s choice, wherever they live in the UK.

·        Transparent.  It must be clearly transparent to consumers who is able to offer independent financial advice and who is not.

2.      Independent Financial Adviser Promotion’s sponsors

Post this article to: del.icio.us - Digg - Newsvine - Reddit - Furl - MyYahoo!

Read more press releases