Self-Assessment: Time To Pay Threshold Raised To £30,000

More individuals registered for self-assessment can now use the Time to Pay service as HMRC has raised the threshold from £10,000 to £30,000 in an attempt to support more taxpayers through the Coronavirus pandemic ...

Once a taxpayer's 2019/20 tax return has been completed, they can use the Government Gateway to set up a 12-month direct debit and pay what they owe in instalments. HMRC has said it believes up to 95% of self-assessment taxpayers due to make tax payments on or before the 31st January 2021 could qualify to use Time to Pay, without needing to speak to an HMRC advisor.

However, there are some criteria to use this service:

- The taxpayer has no outstanding tax returns, other tax debts or payment plans set up with HMRC
- The tax due is between £32 and £30,000
- The Time to Pay plan is set up no later than 60-days following the 31st January 2021

Anyone not meeting these criteria can still call HMRC on 0300 200 3822.

I feel this is a very significant move by the Government, and it shows they are really trying hard to support as many people as possible whilst still maintaining renewed growth in the economy.

The deadline to submit a completed self-assessment tax return for 2019/20 is the 31st January 2021.

If you feel inspired to find out more about anything I've said here, do call me on 01908 774320 or leave a comment below and I'll be in touch as soon as I can.