NEW figures show 105,398 Welsh taxpayers faced a £100 penalty last tax year after missing the deadline for filing their self assessment tax return.

This year, HM Revenue & Customs is encouraging taxpayers to get their returns in - and pay tax due - early. Anyone who received a self assessment tax return in April 2005 must file by midnight on January 31, 2006, and pay any tax they owe. Failure to do so carries a £100 penalty, and interest is also charged on any outstanding tax.

In 2004-05, almost 10 million self assessment tax returns were issued - and almost a more than 1.7 million penalties were issued to taxpayers who failed to get their returns in before the 31January deadline. "Filing tax returns online is easy and fast, at www.hmrc.gov.uk - however we are encouraging people who want to do it this way to file sooner rather than later to avoid the last minute rush. We expect the last few days will see a record number of returns being filed through the HMRC website. We want people to get in early, avoid peak traffic and get the smoothest service," said Roy Massingale, director of self-assessment at HM Revenue & Customs. "It's also important for people to remember that if they post their return to us, it needs to be received by January 31 - so allow plenty of time for posting."

There is also a helpline for people needing more information, on 0845 900 0444. The helpline is open 8am to 8pm, seven days a week, and calls are charged at local rates.