HM Revenue and Customs have issued a record number of late filing penalties this year - many of them incorrect!

A glitch in HM Revenue & Custom's computer system has resulted in a number of penalties being issued to clients whose tax returns were correctly filed online and acknowledged as received.  There have also been a number of penalties issued to clients who filed their returns on the 31st January 2008 or 1st February 2008 online or by post, which HM Revenue and Customs originally confirmed would be accepted as filed on time due to their computer problems.

If affected by the above situation, a letter in explanation sent to HM Revenue and Customs should resolve the matter.

If however you need any further assistance, please contact anna@a4gsolutions.co.uk.

Each tax year you can invest up to £7,000 in either one Maxi ISA which can include cash up to £3,000 and the balance in stocks and shares or two Mini ISA's - one for cash of up to £3,000 and the other for shares up to a value of £4,000.

No income tax is due on any interest received and no capital gains tax is due on gains from the stocks and shares investments. This is a simple way to arrange your affairs tax efficiently as you can save up to £7,000 per tax year and pay no tax on the income returned, and so is especially useful for our readers who are higher rate taxpayers.

If you have not yet contributed to your ISA this year, you had better be quick as the window for this tax year closes in a couple of weeks!

If you would like further advice on ISA's or other investments, please speak to your Independent Financial Adviser or email enquiries@a4gsolutions.co.uk.

"If change is happening on the outside faster than on the inside the end is in sight."

Jack Welch