Coronavirus is a “reasonable excuse” for failing to meet tax obligations

HMRC has updated their guidance to include Coronavirus in the list what constitutes a “reasonable excuse” for failing to meet certain tax obligations. Such reasonable excuses can be used to appeal a penalty for the failure, such as the failure to submit a return on time or the failure to pay a tax liability on time.  When making the appeal, the taxpayer must explain why Coronavirus caused the failure to meet the obligation and the error must be corrected as soon as possible.

Taxpayers will also have additional time to make appeals against HMRC decisions. Any HMRC decision dated February 2020 or later will have an additional three months for the appeal.

If you are concerned about your ability to meet your HMRC deadlines or liabilities please do not hesitate to contact us.