Tax Return Deadline Nears In IoM

by Phillip Morton, Investors Offshore.com

19 September 2008

The Isle of Man's Income Tax Division (ITD) has this week issued a reminder to individuals that the deadline for submitting 2007/08 personal tax returns is now only three weeks away.

If the Division has not received personal tax returns for the tax year ended April 5, 2008 by October 6, 2008, a GBP50 penalty will be charged. If the tax return has still not been received by the Division by April 6, 2009, a further GBP50 penalty will be charged.

Even if the penalties are paid, the tax return must still be submitted, and people may be prosecuted for failing to do so.

When an individual fails to submit their tax return on time the Assessor will issue what is commonly referred to as a ‘default assessment.’ These assessments are made to the best of the Assessor’s judgement, including estimated income and deductions where applicable.

In previous years, any resulting overpayment was refunded. For default assessments for 2007/08 onwards, refunds will not be made until the default assessment is revised upon receipt of the tax return.

Individuals are also reminded that they can send in their return form free by post, using the mailing label which was sent out with their return, or deliver it in person to the Central Government Office.

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