Background
In our last bulletin of 18th January, we explained that HMRC would not be extending the filing deadline for 2019/20 Self-Assessment Tax Returns (31st January 2021) despite the ongoing difficulties taxpayers and accountants are facing relating to the coronavirus pandemic.
Detail
HMRC has today announced that they have changed their stance on this and they have now advised that taxpayers will not receive an automatic late filing penalty of £100 providing their tax return is filed by 28th February 2021. Taxpayers are still advised to try and file their return before the original deadline as the tax payment deadline remains at 31stJanuary 2021. Interest on outstanding liabilities will be charged from 1st February as normal.
Taxpayers can pay online, or through their bank, or by post before they file. If any taxpayer cannot afford to pay by 31st January, they may be able to set up an affordable plan and pay in monthly instalments but they will need to file their 2019/20 tax return before setting up a time to pay arrangement.
Our advice remains the same in that we urge taxpayers to file their tax returns as soon as possible in order to avoid any complications with their tax affairs.
Our Current working arrangement – We remain ‘Open for business’
Our office premises are currently closed, however our staff are continuing to collect post, and are working from home as much as possible. They can still be contacted in the usual way either via email or by calling the office number where reception will divert your call to the appropriate staff member.
If you have any questions regarding the filing of your tax return or paying your tax liability by 31st January 2021, please speak to your usual contact at the firm.
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