We would normally be reminding you about your second payment on account being due on 31 July 2020. Due to Coronavirus, HMRC announced back in March 2020 that all self-assessment taxpayers can extend this payment date to 31 January 2021.
For those already in the self-assessment tax system for this financial year, the second payment on account is the payment you pay towards your following year’s income tax and Class 4 National Insurance Contributions.
Anyone who is due to submit a self-assessment income tax payment this month can now take advantage of delaying this payment until 31 January 2021. There will be no penalties or interest charged during the deferral period.
HMRC have introduced a wealth of measures in order to help struggling businesses throughout Coronavirus including a three-month deferral on VAT payments and scaling up their time to pay arrangements. You can find out more about all the initiatives the Government has introduced here.
Sean Daniel, Managing Director said, “The extension of the second payment on account to 31 January for all those who pay their tax through self-assessment is a much-welcomed boost for the self-employed and small businesses.”