Income Tax Deferral for the Self-employed

What help is available from HMRC?

Income Tax Deferral for the Self-employed

What is it?

The Self-Assessment payment on account, that is ordinarily due to be paid by July 2020 may now be deferred until January 2021.

This deferral is optional, and you can pay the second payment normally if you wish, to avoid a large payment in January 2021.

Am I eligible?

If you submit a self-assessment tax return and have a second payment on account, then you are eligible.

HMRC have said that this deferral will apply to anybody who meets the above criteria, not just the self-employed.

How do I access it?

This is an automatic offer with no applications required. No penalties or interest for late payment will be charged if you defer payment of your July 2020 payment on account until January 2021.

HMRC have also scaled up their Time to Pay offer to all firms and individuals who are in temporary financial distress as a result of Coronavirus and have outstanding tax liabilities.

When can I access it?

On 31 July 2020 when your self-assessment payment on account, ordinarily due to be paid, may be deferred until the 31 January 2021.