It's not often you will see that headline! In case you hadn't heard, this year HMRC are waiving late filing and late payment penalties for Self Assessment taxpayers for one month – giving you extra time, if you need it, to complete your 2020 to 2021 tax return and pay any tax due. This is to ease the pressure caused by Covid-19 where businesses and agents are struggling to meet the looming deadline. 
The deadline to file and pay remains 31 January 2022. The penalty waivers will mean that: 
anyone who cannot file their return by the 31 January deadline will not receive a late filing penalty if they file online by 28 February 
anyone who cannot pay their Self Assessment tax by the 31 January deadline will not receive a late payment penalty if they pay their tax in full, or set up a Time to Pay arrangement, by 1 April 
Interest will be payable from 1 February, as usual, so it is still better to pay on time if possible. However, if you are going to struggle to pay it all in one lump sum you can access your HMRC account and set up a Time to pay schedule via DD with minimal interest to pay. If this is the case for you, I urge you to set this up as soon as possible, it's quick and easy to do and it will save you future stress. You can always pay the balance off early when you are better placed to do so. 
Click here to find out more via the government website. 
Share this post:

Leave a comment: 

Our site uses cookies. For more information, see our cookie policy. Accept cookies and close
Reject cookies Manage settings