Agreed tax postponements automatically extended until end of June 2020.
HMRC has written to customers whose tax payments had already been postponed, due to them being affected by COVID-19 (Coronavirus), to say that the postponement has been extended to 30 June 2020. There is no need for customers to contact HMRC about this now.
After 30 June 2020, HRMC will contact customers again to talk about their payment options, if they have not paid in full, to try and find a way of paying that they can afford. If their position has changed and customers can pay, they can find everything they need to do so online by going to GOV.UK and searching ‘paying HMRC’.
Interest will be charged where applicable on the amounts outstanding within the postponement agreement until they are paid in full. Where possible, customers have also been contacted by phone, SMS or email about this.
Deferring Self Assessment payments on account We have published new COVID-19 guidance on deferring Self Assessment payments on account. You can find out more about deferral, as well as information on paying in instalments or making a full payment in the guidance. Your clients have the option to defer their payment due in July 2020 until 31 January 2021.
Any Self Assessment customer, including the self-employed, landlords and others, who are in financial difficulty due to COVID-19 can defer their Self Assessment payment on account (POA).
We will assume the deferral option has been taken if no payment is received – it is automatic and there isn’t an application process. We will not charge interest or penalties on the deferred POA, provided it is paid in full by 31 January 2021.
Self-Assessment customers have the option to:
- defer payment of their POA in full up until 31 January 2021
- pay their July POA as normal by 31 July 2020
- pay their POA any time between now and 31 January 2021 (as one payment or in instalments). You do not need to tell us if your clients choose to pay in instalments, they can simply implement a budget payment plan.
If any of your clients wish to add the July 2020 POA to an existing time to pay arrangement, then they will need to contact us to arrange this. We will ensure that the POA element of the Time to Pay arrangement does not incur any interest provided it is paid in full by 31 January 2021. Please discuss the options with your clients who are due to make their payment by 31 July 2020. Thank you for your support.
We will continue to provide you with the latest updates through our online guidance.