HMRC has announced further help for Self-Assessment taxpayers, by extending the late payment penalty deadline until 1 April 2021. Under normal circumstances, a 5% penalty would be incurred on any tax payments which were due by 31 January 2021 and are still outstanding on 3 March 2021. This welcome extension means that taxpayers now have until midnight on 1 April 2021 to either pay their outstanding tax or to set up a ‘Time to Pay’ arrangement with HMRC. These arrangements can allow taxpayers to pay their tax in monthly installments up to January 2022 (or potentially longer in exceptional circumstances), though please note that HMRC will charge interest during this period (currently 2.6%).
If you are facing difficulties paying your tax liabilities and would like further help and advice, please visit the government website here or contact our personal tax expert, Jenny Brown.
How can we help?
At Hawsons we have a dedicated team of personal tax accountants at our offices in Sheffield, Doncaster, and Northampton. Our team of personal tax accountants works together to provide proactive, well-rounded, technically robust tax advice to private clients including individuals to help ensure that their tax affairs are in order and are correctly dealt with.
