Self assessment penalty

Hello I was asked to submit a self assessment return for 22/23 as I may have been liable to pay the higher benefit charge. It turned out my taxable income was lower than the threshold so I decided to delete my return, submitting an application to withdraw. Prior to submitting the withdrawal, I was asked to make a payment of £500 for underpaid tax in 22/23, although I have been designated a lower personal threshold in 23/24 to compensate for that. Despite my efforts I couldn’t update the system to reflect this and was unable to speak to anyone in January for advice on how best to proceed. I explained my circumstances in my application to withdraw but I have now received a late penalty fee of £100. I feel very aggrieved by this and have appealed. I have never had to do a tax return before so perhaps a bit naive but this is a huge amount of money for me. I am also yet to hear about my application to withdraw. I’m also not sure if I should pay the fee pending appeal and complete my return now for 22/23. Does anyone have some good advice on how best to proceed, and what my chances are for an appeal? Please note that I am a PAYE employee. Thanks.

Hi I Ahmet,

So we can review your record and confirm if your 2022 to 2023 return has been cancelled, and give more advice on any penalties outstanding please contact our Self Assessment team. We would also be able to confirm if the £500 quoted was collected through your 2023 to 2024 tax code, and update the rest of your record accordingly.

Self Assessment: general enquiries

Thank you.