Following our blog ‘Easing the self assessment income tax payment pain’, we want to remind taxpayers that it is possible to set up a self-serve time to payment arrangement with HMRC if you are unable to pay your self assessment bill.
The limit for a self-serve time to pay arrangement, which was increased during the pandemic, remains at £30,000 tax due.
If you can’t pay your 2020/21 self assessment tax liability in full by 31 January 2022 you can set up your own time to pay arrangement online if you:
- have filed your tax return for 2020/21;
- owe less than £30,000;
- are within 60 days of the payment deadline; and,
- plan to pay your debt off within the next 12 months or less.
Visit www.gov.uk/difficulties-paying-himrc/pay-in-installments
If you owe more than £30,000, or need longer to pay, you should phone the self assessment payment helpline on 0300 200 3822 to make an arrangement.
To avoid a 5% late payment penalty, we advise you to set up the arrangement within 30 days of the due date, ie before 1 March 2022.
Please contact us if you need any advice or assistance to set up a time to pay arrangement.
