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New Tax Penalty Points System Launches This Month

1/30/2026

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Story summary
  • HM Revenue and Customs (HMRC) is launching a penalty points system for taxpayers this month, trialing with 100 under the Making Tax Digital scheme.
  • Four penalty points trigger a £200 fine, replacing automatic late-submission fines, while about 3 million people have yet to file their self-assessment tax returns.
  • The rollout expands in April 2026 to sole traders and landlords earning over £50,000, with thresholds falling each year.