HMRC has announced that self-assessment taxpayers will not be charged a 5% late payment penalty if they pay their tax or set up a payment plan by 1 April 2021.
Usually, a 5% payment penalty is charged on any unpaid tax that is still outstanding on 3 March. However, as a result of the COVID-19 pandemic, HMRC is giving taxpayers more time to pay.
An initial £100 penalty will still be charged to those who have not submitted their returns by 28 February 2021, however, so HMRC has urged taxpayers who have yet to file their 2019/20 return to do so now.
HMRC is also encouraging customers to use the time-to-pay facility, allowing them to spread the cost of their self-assessment tax bill into monthly payments until January 2022.
Over 97,260 customers have already set up a self-serve time-to-pay arrangement online, totalling more than £367 million, HMRC has revealed.
Jim Harra, HMRC’s chief executive, said:
“Anyone worried about paying their tax can set up a payment plan to spread the cost into monthly instalments. Support is available at GOV.UK to help anyone struggling to meet their obligations.”
Speak to us about your tax returns.
HMRC waives 5% late payment penalty
Make the switch to us
Choosing StationOne means opting for a service where excellence, expertise, and a personal touch converge. Our rates reflect the quality and dedication we bring to every interaction. We are not just about the numbers; we're about fostering growth, ensuring compliance, and paving the way for your business's prosperity.
Get in touch
Fancy a new accountant? Contact us for tailored financial guidance.
Tell us about your business
Share your business needs; we'll provide the bespoke financial solutions.
We'll take it from here
Trust us to lead your financial operations to success.
"Enables us to be more profitable"
"Having been a client for many years we have learned how important Food and Drink GP’s are to the running of our restaurants and getting these to the correct %’s every week enables us to be more profitable and then be able to concentrate on managing other costs"
How can we be of service?
Embark on your journey towards financial excellence with StationOne. Let us show you what it means to have not just an accountant, but a committed partner in your corner.