Don’t let your tax bill affect your festive joy. Instead, spread your tax payments throughout the year!

25th November 2019

With the festive period fast approaching, it is easy to lose sight of your self-assessment tax return!

 

If you are employed or receiving a pension and you file your return before 30 December 2019, you can elect to have your tax collected through ‘Pay As You Earn’ (PAYE) rather than paying one lump sum on 31 January 2020.This will effectively mean you spread the payment over 12 months!

 

The following conditions apply if you wish to do this:

 

  • Your total tax liability is less than £3,000
  • You already have tax deducted at source either as an employee or on a pension
  • Your total annual income is sufficient that you will not have more than half of your income deducted in tax each month or will not pay double your normal tax through PAYE.

REMEMBER: If you elect for your tax to be collected through the next available PAYE code, you must disclose this on the tax return for the year it is collected, to ensure the calculations are correct.

 

For further information please visit: https://www.gov.uk/pay-self-assessment-tax-bill/through-your-tax-code

 

If you would like to discuss the above please contact your usual Whiting & Partners contact or contact us at: https://www.whitingandpartners.co.uk/about-us/contact-us/



 
Other items in Blogs
 
Vanessa Pearson
13th December 2019 April 2020 Proposed IR35 changes: Status appeals process

As the planned changes to who determines IR35 status are fast approaching, contractors would be well advised to review their contracts on HMRC’s updated CEST (Check Employment Status for Tax) tool. Having provided answers to questions regarding substitution, control and nature of the work, the updated tool will give HMRC’s view of the workers employment…

Read More »

Ben Kilby
12th December 2019 VAT Surcharge

Have you or your business received one between 23 April 2018 and 31 January 2019?   If so, you may want to check if it has been dated. If it has not been dated you may be in for a refund. Any surcharge liability notice or surcharge liability notice extensions are invalid if they have…

Read More »

Lucy Bayliss
25th November 2019 Don’t let your tax bill affect your festive joy. Instead, spread your tax payments throughout the year!

With the festive period fast approaching, it is easy to lose sight of your self-assessment tax return!   If you are employed or receiving a pension and you file your return before 30 December 2019, you can elect to have your tax collected through ‘Pay As You Earn’ (PAYE) rather than paying one lump sum…

Read More »

Ian Piper
22nd November 2019 2019 Growth: Missing in action?

(Data Source) As another year draws to a close, local SME businesses will be forgiven for looking forward to drawing a line under it. With 2019 sales growth barely nudging 1%, it has been a year of focusing on not slipping backwards, rather than the usual mantra of continually signing up new accounts.  When commentators…

Read More »

Mark Burrows
21st November 2019 Avoiding Self Assessment Tax Scams

HM Revenue & Customs have reminded Self Assessment taxpayers to watch out for fraudsters as the tax return filing deadline of 31 January approaches.   HMRC say they have received nearly 900,000 reports of suspicious phone calls, texts or e-mails from scammers pretending to be the tax authority.  Most of these messages were about fake…

Read More »

Scott Bishop
20th November 2019 Postponement of planned Corporation Tax reduction

Boris Johnson has announced plans to postpone the cut in Corporation Tax to 17% (down from 19%) that was due to take effect from 1st April 2020 in order to save £6bn, stating that the money would be better spent on other ‘national priorities’,  including the NHS.   It is not clear when, or indeed…

Read More »