Last October, the threshold for Time To Pay arrangements with HMRC was raised from £10,000 to £30,000. Once self-assessment taxpayers have completed their 2019/20 tax return and understand what they owe, they can now use the self-serve facilities to spread the cost of their tax bill.
"The 31st of January self-assessment deadline is just a few days away!"
HMRC realise that the past year has been tough for many self-employed people. They are now helping them spread the cost of their tax bills into simple monthly payments. So, far 25,000 have taken up this facility and the average amount spread is £2,821.
Anyone who needs to file a self-assessment tax return can visit gov.uk/hmrc and apply for the payment plan providing:
they have no outstanding tax returns
there are no other tax debts
they have no other HMRC payment plans active
The debt also needs to be between £32 and £30,000
Do be aware of copycat HMRC websites that are connected to phishing scams. Never click the links in any emails you receive and always go directly to gov.uk/hmrc to find out if the message was authentic.
Also, be very alert to calls or texts claiming to be from HMRC as it may also be a scam.
Until next time ...
ROGER EDDOWES Business Godparent
Would you like to know more?
If anything I've written in this blog post resonates with you and you'd like to discover more about time to pay, call me on 01908 774320, leave a comment below or ping over an email and I'll put you in touch with him.
Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.
No unauthorised use, duplication, distribution or modification to any original content contained within this blog is permitted without prior written permission of the author. All other trademarks and registered names are acknowledged.