Tax demand for £1 ... or not as the case may be.

[MaryBS]

I still fill out a self-assessed tax return, even though I've been employed for 3 years.

I filled it out using my P60, I don't have any savings or other earnings whatsoever.

The demand says I owe £1, but if I look at the working sheet accompanying it, its all zero. Would they really fine me £100 if I didn't pay it by 31 Jan?

It'd cost at least £1 in a phone call to find out what they're on about!

So I've paid it online...

My brother had this & he just paid the £1 online too, i think you done the right thing by paying it, i would rather be out of pocket by £1 than £100.

Wasn't there a story once on MN about someone taken to court over 60 odd pence owing for council tax?

I think the taxman can only charge you £100 if the amount you owe exceeds that.

BUT for peace of mind I'd just pay the £1. You never know, you might get a rebate (with interest) next year

I overpaid my tax by £2.62 last year and they sent me a cheque together with about 4 letters telling me they would be sending me the cheque. Madness.

I had to pay 83p one year. I took the form into the post office and asked if I could pay my tax bill there - he said yes and then laughed at the amount.

Rebate with interest! What would I spend it on? A luxury family holiday?
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or maybe a bar of Galaxy

The £100 penalty is for late submission, not for late payment (although a pp is right that the penalty for late submission is the lower of £100 or the tax due).
They probably wouldn't send you a demand for it, although they might run interest on it!
If you fill in your return earlier in the year you can just tick the box to have it deducted through your coding - lol!

I had the same (18p more).

Last year it was £1.81.

I am posting the cheque tomorrow in the prepaid envelope so that's 36p off already.

I fear I will be filling in the self assessment form for ever more..............