Deferral of Self-Assessment Tax Payment Due 31 July 2020 – Now Applies to ALL Self-Assessment Taxpayers
Post Author:
Anne Melville
Date Posted:
March 28, 2020
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What is it?
The Self- Assessment second payment on account for 2019/2020, that is due to be paid to HMRC by 31 July 2020, can now be deferred until January 2021.
Who is eligible for this deferment?
If you are due to make a self- assessment payment on account on 31 July 2020 then you are eligible for the deferment.
The deferment is intended to assist ALL self-assessment taxpayers, including the self-employed, who are suffering hardship as a result of the current coronavirus pandemic. (Previously this deferment only applied to the self-employed, but the HMRC guidance on this has now changed).
How do I apply?
You do not need to apply to HMRC for the deferment. It will be applied automatically if you do not make payment of the tax due on 31 July 2020.
If you pay your tax by direct debit and have already set up the payment due on 31 July 2020, you will need to cancel the direct debit instruction if you wish to defer the payment.
How long will I have to pay the tax due on 31 July 2020?
You will have until January 2021 to make the payment.
Will HMRC charge late payment interest and penalties?
There will be no late payment interest or penalties charged so long as the tax is paid by January 2021.
What if I want to make my tax payment as normal?
The deferment is optional and anyone who can and wants to pay their second payment on account for 2019/2020 on 31 July 2020 should do so as normal.
https://www.businesssupport.gov.uk/deferral-of-self-assessment-payment/
Photo by Erik Mclean on Unsplash
The information in this blog provides only an overview of HMRC guidance and legislation in force at the date of publication and no action should be taken without consulting the detailed HMRC guidance and legislation or seeking professional advice. Therefore no responsibility for loss occasioned by any person acting or refraining from action as a result of the material contained in this blog can be accepted by the firm.
