‘Record’ number of tax penalties overturned on appeal amid helpline delays
Some 35,876 penalties were cancelled on appeal in 2023/24, compared to 21,071 in 2022/23
The number of penalties issued by HMRC for late payment of tax or late filing of tax returns overturned on appeal soared 70% in 2023/24, according to new data from Price Bailey.
The accountancy firm found that 35,876 penalties were cancelled on appeal in 2023/24, compared to 21,071 in 2022/23. It also found that 74% of penalties were overturned on appeal in 2023/24, up from 69% the previous year.
Price Bailey said that “persistent” delays with HMRC’s telephone helplines led to a surge in taxpayers being issued with automatic late filing penalties. The day before the tax return deadline, callers to HMRC’s self-assessment helpline were “frequently waiting longer than 40 minutes before speaking to an adviser”.
