Late filing and late payment penalties are to be waived for one month for Self Assessment taxpayers.
On 6 January HMRC announced that they will not charge:
1. Late filing penalties for those who file online by 28 February 2022
2. Late payment penalties for those who pay the tax due in full or set up a payment plan by 1 April 2022
This will give taxpayers and their accountants additional time if they need it and will operate in the same way as the equivalent waivers last year. However, HMRC is encouraging taxpayers to file and pay on time if they can — almost 6.5 million have already done so.
HMRC’s Time to Pay options are still available to assist customers. Once they have filed their 2020-21 tax return, taxpayers can set up an online payment plan to spread Self Assessment bills of up to £30,000, over and up to 12 monthly instalments.
The payment deadline for Self Assessment is 31 January and interest will be charged from 1 February on any amounts outstanding. Normally a 5% late payment penalty is charged on any unpaid tax that is still outstanding on 3 March. This year, like last year, HMRC is giving taxpayers more time to pay or set up a payment plan. Self Assessment taxpayers will not be charged the 5% late payment penalty if they pay their tax or set up a payment plan by midnight on 1 April. They can pay their tax bill or set up a monthly payment plan online at GOV.UK.
There is no change to the filing or payment deadline and other obligations are not affected. This means that:
Read the full press release here.
If you have any questions or concerns or need assistance, please get in touch with our team:
[email protected] | 01481 244059.
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