Quick answer
There are no penalty points for late quarterly updates in 2026/27. From 2027/28 you get one point per missed deadline and a £200 penalty once you reach four points, plus £200 for each further miss.
A grace year for quarterly updates
HMRC has confirmed it won’t give penalty points for late quarterly updates in the 2026/27 tax year. The grace period only covers quarterly updates, so it’s still worth getting your final declaration in on time.
How points work from 2027/28
What happens | Result |
|---|---|
You miss a quarterly update or final declaration deadline | 1 penalty point |
You reach 4 points | £200 penalty |
You miss another deadline while at 4 points | Another £200 penalty each time |
Points don’t turn into a fine straight away. They build up, and the £200 penalty only arrives once you hit the threshold.
Getting rid of points
Points expire after a period of compliance. In short, you need to meet all your submission deadlines for a set period and have sent everything that’s due. HMRC’s guidance on GOV.UK sets out the exact rules.
Paying late
Submission penalties are separate from payment. If you pay your tax late, HMRC charges interest and late payment penalties can apply. Check GOV.UK for current rates.
Appealing a penalty
If you had a reasonable excuse for missing a deadline, such as a serious illness or a failure in HMRC’s own systems, you can appeal. Keep a record of what happened and when.