Talk to the Taxperts

01382 312100

HMRC Announces Support For Self Assessment Taxpayers

On 6 January, HMRC announced that it will waive late filing and late payment penalties for one month for Self Assessment taxpayers.

While HMRC hope that many will submit their returns by usual 31 January deadline, the penalty waivers will support Self Assessment taxpayers that are under pressure to complete their 2020-21 tax return and pay any tax due.

The penalty waivers will mean that:

  • anyone who cannot file their return by the 31 January deadline will not receive a late filing penalty if they file online by 28 February
  • anyone who cannot pay their Self Assessment tax by the 31 January deadline will not receive a late payment penalty if they pay their tax in full, or set up a Time to Pay arrangement by 1 April

However, it is important to note that interest will be payable from 1 February, at a rate of 2.75%, so it is still better to pay by 31 January if possible.

If you feel you need spread the cost of your tax payment, you may be able to set up monthly payment plan with a Time to Pay arrangement or a Self Assessment payment plan.

You can set up a Self Assessment payment plan within 60 days of the payment deadline to pay your tax bill in instalments, over a period of up to 12 months, without contacting HMRC.

To be eligible to set up an online payment plan you need to:

  • have filed your 2019-20 tax return
  • owe £30,000 or less
  • have no other tax debts
  • have no other HMRC payment plans set up

If you need assistance with your tax return, or any other tax related matter, please get in touch with our Taxperts by calling one of our offices or emailing [email protected].

Latest News

View all latest news

May 26, 2022

It’s Time To Complete Forms P11D

The deadline for employers to complete forms P11D to report benefits or expenses provided to employees and directors is fast approaching – forms for the year ended 5…

May 9, 2022

Company Share Buybacks For Retiring Shareholders

Many family and owner-managed companies face a challenge when it comes to succession planning on the retirement of a shareholder in the company. One common strategy was to…

Download our EQ app and keep up to date with tax news, changes and have access to our EQ Portal, tax calculators and key tax dates at your fingertips. Click on the relevant button on your device to download our free app.

Visit EQ Accountants Visit EQ Accountants

Explore the full range of EQ Expertise

acca
CA
icaew
the-charteded-institute-of-taxation-logo

2020-innovation
cherries
ACC 2019 LOGO Finalist