13 December 2012 Last updated at 19:06 ET
About 300,000 people who have failed to send in their tax returns for 2010-11 could soon see their goods seized.
The taxman is sending warning letters to those who have now run up late-filing penalties of £1,300 for that year, under self-assessment.
They can still pay, or ask for the penalty to be taken off their income in 2013-14 if they are in the PAYE system.
The letters are part of a continuing campaign against a persistent minority of non-filers.
A spokesman for HM Revenue & Customs (HMRC) said the defaulters could still pay their fines, and submit the late tax returns.
“These non-filers have ignored numerous communications from HMRC, dating back to April 2011, including flyers, reminder letters, penalty notices and warning letters,” he said.
“A customer can still phone us if they think they should not be in self-assessment, and will be taken through a number of questions to indicate if they should be in self-assessment or not.
“If they shouldn’t have been in it for 2010-11, penalties will then be waived,” he added.
About 7,000 higher-rate taxpayers who had missed tax returns from earlier years were sent similar warning letters in October.
BBC News – Business
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