Sole Trader - Year of Commencement

accsvalue

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Sole trader commenced trade in March 2010. He is assessable on profits to year ended December 2010. Should he have filed a tax return by 31 October 2011? If so, what are the likely penalties?
 
No, if this person only became a chargeable person for the first time in 2010, then they have until 31 October 2012 (or whenever the extended deadline is this week for online filing), to file both of the first 2 years' returns i.e. you get an extra year to file your first return.

The tax liability should still have been paid by 31/10/2011 though, so he's exposed to interest. If the 2010 and 2011 returns are not both submitted and paid online by 15/11/2012 (that's this Thursday), then a 5% surcharge will apply.
 
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