Taxpayers with July personal tax payments don’t need to pay the 2nd payment on account. It would normally be due by 31 July 2020 but now needs to be paid by 31 January 2021.
The deferral was announced back in March but went largely unnoticed with all of the other grants available.
HMRC have now started sending out statements to taxpayers, which state the new payment date of January. To avoid any confusion we go through the scheme in more detail.
Any taxpayer with a personal tax payment due on 31st July 2020 is eligible.
This initiative will assist UK taxpayers with short term cashflow problems caused by Coronavirus.
There is no requirement to apply. The process is automatic.
The payment is deferred until 31st January 2021.
There will be no interest or late payment charges during the period of deferment.
Yes. The deferment is optional. Should you wish to pay the July tax payment you just need to make the payment in the normal way.
Here are some options on how to pay personal tax?
For further information on the July tax payment deferral see the HMRC website.
Conclusion of the July personal tax payment deferral
Any short term help to support businesses and individual taxpayers with their cashflow at this time is to be welcomed.
At Patterson Hall Chartered Accountants we aim to provide our clients with the most up to date advice in this ever changing landscape. As soon as any further announcements are made we will be sure to update these blogs and notify our clients.
See below for other Coronavirus support available to small businesses:
Self-employment Income Support Scheme
How to claim Self-employed Income Support Grant?
Self-employed to receive further grant in August
How to claim the Job Retention Scheme?
Job Retention Scheme extension rules from July
Bounce Back Loans
VAT Deferral Scheme
Business Support Grant & Rates Relief
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