Where you are now
| Date | What happens if the return is still not filed |
|---|---|
| 6 July 2026 | Deadline. £100 penalty from the day after. |
| 6 October 2026 | A further £300. This has already happened. |
| 6 January 2027 | Another £300. That makes £700. |
| 6 April 2027 | HMRC may start charging £10 a day. This is not automatic. |
GOV.UK describes these as 3, 6 and 9 months after the original deadline. The dates in the table are our working from the law, which counts each period from the due date. See Schedule 5, paragraph 57B of the Income Tax (Earnings and Pensions) Act 2003.
Filing now stops the next penalty. It does not cancel penalties already charged; for that you need to appeal. Even if you have paid a penalty, HMRC says you must still file.
Granted EMI options in 2025 to 2026? For options granted on or after 6 April 2024, the separate EMI notification was also due by 6 July 2026. Missing it risks losing the tax advantages. See HMRC's EMI notification guidance.
What to do, step by step
- Find every outstanding return. Sign in to the ERS online service and go to "View schemes and arrangements". Every registered scheme needs a return or a nil return for each year.
- Decide: file or nil return. For EMI, you need a file if there were outstanding qualifying options and activity in the tax year, such as an exercise, lapse, cancellation, adjustment or replacement. If not, file a nil return. That needs no file.
- Build the file. Use HMRC's current EMI end of year template and put each event on the right sheet. See how to complete the EMI annual return.
- Check it. Run the file through HMRC's checking service and fix anything it lists.
- Submit it. In the ERS online service, choose the scheme, select "Submit annual returns" for 2025 to 2026 and upload the file. Save a copy and download the receipt. See how to submit an ERS return.
- If the scheme has ended, enter the final event date and submit a return or nil return for it.
- Then appeal, if you had a reasonable excuse. See below.
Do it before 6 January 2027
The next £300 applies if the return is still outstanding 6 months after the deadline, which is 6 January 2027. A return filed before then stays at £400.
Filing late from 6 April 2027? HMRC will then only take returns for any tax year on its new version 7 templates. Until 5 April 2027, use the current ones.
Appealing the penalty
- File first. HMRC only accepts an appeal once you have met your reporting obligations.
- Time limit. The law gives 30 days from the date of the penalty notice. GOV.UK says that if you miss a deadline to appeal, you will usually need a reasonable excuse for that too.
- What HMRC looks for. A reasonable excuse for not filing on time, and that you filed without unreasonable delay once the excuse ended.
- How to send it. Email shareschemes@hmrc.gov.uk, or write to Charities, Savings and International 1, HMRC, BX9 1AU. Include full documentary evidence of your excuse.
What may count as a reasonable excuse
HMRC decides each case. GOV.UK gives these examples of what may count:
- a partner or close relative died shortly before the deadline;
- an unexpected stay in hospital, or a serious or life threatening illness;
- your computer or software failed while you were preparing the return;
- problems with HMRC's online services;
- a fire, flood or theft stopped you completing the return.
GOV.UK says these will not count: you did not get a reminder from HMRC, you found HMRC's online system too difficult to use, or you made a mistake on your return. If an agent filed late for you, HMRC says the company is still liable for the penalties.
If an accountant files for you
An agent authorised to act for the company can file the return through HMRC online services for agents. HMRC says the agent must share a copy of the submission receipt and the completed template with the client. See how to submit an ERS return.
Questions
I missed the EMI annual return deadline. What should I do first?
File the return or nil return as soon as you can. It stops further penalties, and HMRC only considers an appeal once the return is in.
Will filing now cancel the penalties?
No. Filing stops the next penalty but does not remove ones already charged. To have a penalty cancelled or changed, you need to appeal with a reasonable excuse.
What happens on 6 January 2027?
If the 2025 to 2026 return is still outstanding 6 months after the 6 July 2026 deadline, HMRC charges a further £300. That takes the total to £700.
How long do I have to appeal?
30 days from the date of the penalty notice. Send the appeal to shareschemes@hmrc.gov.uk with evidence of your reasonable excuse.
Is not getting a reminder a reasonable excuse?
No. GOV.UK says not getting a reminder from HMRC will not be accepted as a reasonable excuse. HMRC does not send reminders for ERS returns.
Based on HMRC's published guidance: Check how to deal with an ERS penalty. ERS bulletin 65. Submit returns for ERS. EMI guidance notes. Schedule 5, paragraphs 57B and 57E, ITEPA 2003. Reasonable excuses. Submit an EMI notification. Checked on 22 October 2026. This is general guidance, not tax advice, and HMRC's own pages take priority if they change. Share Scheme Return is not affiliated with HMRC.
Late EMI return to file?
Load your option register and see every row that breaks HMRC's published rules, with the reason and the fix. Then build your return on HMRC's official EMI template. Nothing is uploaded, and checking is free.