GUIDE · 10 Aug 2026

What Happens If I File Company Tax Late? (UK Penalties Explained)

What happens if you file your company tax late in the UK? Current HMRC flat penalties, interest and Companies House late filing fees explained.

SimpleCompanyTax Team
Plain-English guidance for UK micro-entity directors.

Missing your corporation tax filing deadline can be expensive. HMRC and Companies House both impose penalties, and they're separate, so you could face charges from both bodies.

Here's exactly what happens, what it costs, and what you can do about it.

The Two Deadlines You Need to Know

Your UK limited company has two key filing deadlines after each accounting period ends:

FilingDeadlineFiled With
Annual accounts9 months after period endCompanies House
CT600 corporation tax return12 months after period endHMRC
Corporation tax payment9 months + 1 day after period endHMRC

Example: If your accounting period ends 31 March 2026:

  • Accounts due at Companies House: 31 December 2026
  • Corporation tax payment due: 1 January 2027
  • CT600 return due at HMRC: 31 March 2027

HMRC Penalties for Late CT600 Filing

HMRC imposes flat-rate penalties for late CT600 returns. The rates below apply where the filing date is on or after 1 April 2026.

How LatePenalty
Filed within 3 months after the deadline£200
Filed more than 3 months after the deadline£400
Third and later consecutive late return, within 3 months£1,000
Third and later consecutive late return, more than 3 months£2,000

Important Notes:

  • The flat-rate penalty can apply even if the company owes no tax, for example where it made a loss
  • If 3 or more consecutive returns are late, the increased £1,000 or £2,000 rate can apply
  • These penalties are on top of any interest charged on late tax payments
  • For older filing dates, lower flat-rate penalties may apply. Check the penalty notice and HMRC guidance for the period concerned

HMRC Interest on Late Payment

If you pay your corporation tax late (after the 9 months + 1 day deadline), HMRC charges interest from the day after the deadline until the date you pay. The current late payment interest rate is regularly updated — check HMRC's website for the latest rate.

Interest is charged automatically. Even a few weeks' delay can add up.

Companies House Penalties for Late Accounts

Companies House penalties for late accounts are separate from HMRC penalties and are not negotiable:

How LatePrivate Company Penalty
Up to 1 month£150
1 to 3 months£375
3 to 6 months£750
Over 6 months£1,500

Key Points:

  • These penalties double if you were late the previous year
  • Penalties are imposed on the company, not the director personally (but directors are responsible for ensuring compliance)
  • Unlike HMRC, Companies House does not reduce penalties for companies that owe no tax — the penalty is for late filing regardless

Total Cost of Being Late: An Example

Scenario: Your accounts period ended 31 March 2026. Your return and accounts are both filed 4 months late, and the CT600 filing deadline falls on or after 1 April 2026.

PenaltyAmount
HMRC: return filed more than 3 months late£400
Companies House: accounts filed 3-6 months late£750
HMRC: Interest on late tax payment (~4 months)Variable
Flat penalties before interest£1,150

For a company that might only owe a few hundred pounds in tax, these penalties can exceed the actual tax liability.

What If You've Already Missed the Deadline?

File as Soon as Possible

The penalties increase over time, so every day counts. File immediately to prevent further penalties from accumulating.

You Can Appeal HMRC Penalties

You may be able to appeal if you have a "reasonable excuse" such as:

  • Serious illness or bereavement
  • HMRC's online service was unavailable
  • Fire, flood, or theft affecting your records
  • A partner or close relative died shortly before the deadline

HMRC does not consider the following as reasonable excuses:

  • You didn't know about the deadline
  • You relied on someone else to file
  • You didn't receive a reminder
  • You didn't owe any tax

Companies House Appeals

Companies House rarely accepts appeals. Their position is that directors should know their filing deadlines. However, you can apply for an extension before the deadline if you know you'll be late.

How to Avoid Late Filing

  1. Know your deadlines — mark them in your calendar as soon as your accounting period ends
  2. Don't wait until the last minute — start preparing your accounts at least 2-3 months before the deadline
  3. Use software — tools like SimpleCompanyTax can prepare your CT600 and accounts same-day
  4. Set reminders — at 6 months, 3 months, and 1 month before each deadline
  5. File even if you can't pay — filing your return on time avoids the filing penalties, even if you need more time to pay the tax

Dormant Companies Are Not Exempt

A common misconception: even if your company is dormant and owes no tax, you still need to file:

  • Dormant accounts at Companies House
  • A CT600 return at HMRC (confirming the company is dormant)

Missing these deadlines can still incur penalties. Many directors of dormant companies get caught out by this.

Summary

Late filing is expensive and entirely avoidable. The key deadlines are 9 months for Companies House accounts, 9 months and 1 day for tax payment, and 12 months for the CT600 after the accounting period ends. HMRC flat penalties for a filing date on or after 1 April 2026 start at £200, while Companies House penalties have separate rates.

The cheapest approach: file on time. The fastest approach: use software that can prepare everything in a single session.

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