In the 2011/2012 tax year an initial number of people thought to be in the region of 10.6 million were required to complete a Self Assessment tax return. It has been reported that 300,000 of those have since contacted HMRC to let them know that they do not need to complete the requested tax return.
Under a new initiative HMRC have encouraged tax payers who are in the self assessment system to tell them if their circumstances have changed, meaning that they do not meet the self assessment criteria. If you are requested to complete a tax return it is a legal requirement to complete it. If you do not complete it on time penalties are imposed because it is not filed on time.
HMRC knows that your circumstances can change resulting in it not being necessary to complete a self assessment tax return. If you are one of these people you should contact HMRC as soon as possible to explain your situation, to ensure that you are taken out of the self assessment system in the future. If you have incurred late filing penalties they can also be stopped depending on your reasons for not submitting it on time.
