ahmed111

Hi I purchased my first property in September 2020 and this is my only property which I bought on a buy to let. The first tax year should have been filed in January 2022, which I did not do as I was on losses and given how complex taxation could be I did not realise as I have never been self employed. I was hoping to file tax by the 5th April 2023 for tax year 2021/2 but then realised the deadline was January 2023, now these were honest and genuine mistakes looking at the penalties for the losses I made in 2020/1 the penalty for losses is £1600. How is that fair and I understand that now I am late for tax year 2021/2 the penalty is £100. What would be my best approach to reduce these penalties as I now am aware of how the system works. All advice be much appreciated.