In order to provide further support to self-employed people due to the financial burden created by the restrictions of Coronavirus, the Chancellor Rishi Sunak announced a new Time to Pay deferral.
The new deferral plan relates to self-assessment payments due to be paid in January 2021 for the 2019-20 tax year. You can access the online self-serve Time to Pay service here where you will then be able to set up equal payments over 12 months.
The eligibility for the Time to Pay scheme is as follows:
- There no outstanding tax returns.
- There are no other tax debts.
- The self-assessment tax bill is between £32 to £30,000.
- There should also be no other current HMRC payments set up.
- It is no more than 60 days since the tax was due for payment.
Even if you do not meet the criteria above it is still worth contacting HMRC by phone, as they may be able to arrange a payment plan for you. We would advise that you complete your 2019-20 tax return as soon as possible and apply for the Time to Pay scheme in advance of the 31 January 2021 deadline.
If you would like any further information or support on the above, please get in touch with the friendly Clear Vision team, call us on 01794 330025 or email us