New Inland Revenue fine for late registrations

Owners of new businesses face a new fine if they fail to register with the Inland Revenue, as a tightening up of existing registration rules could land latecomers with an unwelcome expense.

The Forum of Private Business (FPB) is warning all new businesses - whether sole traders, partnerships or limited companies - to ensure that they are registered with the Inland Revenue within three months of establishing their business.

Jane Davies, FPB's Member Contact Manager said: "It is a new but very important area for all new businesses to be aware of. All those found not to have registered will face an automatic fine of £300 - coming at the most critical time for all fledgling business, the first few months of trading."

"Statistically, a third of start-up businesses fail within three years. We are reminding all of our new members that among the many matters a new-business owner has to deal with, they must not forget details such as Inland Revenue registration."

FPB stresses that it is just one of the intense pressures surrounding setting-up a new business and dealing with the many concerns faced such as Business Rates, bank loans, employment law, red tape and all other bureaucratic pressures covering most aspects of running a small business in the UK today.

"Remembering the details is so important from a management point of view. It is far easier to tick registration off the to-do list at the beginning, rather than wait for the final demand to come in at the same time as your first round of invoices," Jane concluded.