Self-Assessment Tax Due
HMRC usually have available the different ways to pay for a Taxpayer to pay for their taxes.
Circumstances differ depending on each individuals circumstances.
In some cases there is a single payment required usually in January or a single payment plus a payment on account upfront for the tax year ahead then another payment on account in July.
E.g. 5 April 2023, where payment on account is also included will be below : -
Personal Tax Due 5 April 2023 (A) ........
First Payment on Account 23-24 (B) . .......
Total Tax Due 31 January 2024 (A+B) . ......
Second Payment on Account 23-24 (C) Due 31 July 2024 .......
Then when preparing the Actual Tax Return 23-24 the payment on accounts will be deducted to calculate whether the tax was under or over paid.
If the Tax Due is over £1,000 then again payment on accounts will be due.
There is an option to reduce the payment on accounts, however, if the tax due in the following year is similar or higher then HMRC will charge late interest for when the Payment on Accounts should have been paid.
An exception when a payment on account is not required if 80% tax has already been deducted at source usually from employment income
HMRC also allow another option if a person holds a PAYE employment job when completing a Self-Assessment Tax Return due to other sources of income:-
Gross Income over £100,000
Any other source of income, which is taxable
That is if the Tax due is less than £3,000 after combining all of the different sources of income and the Tax Return e.g Filed before 31 December 2023 for 5 April 2023 Tax Year then HMRC can adjust the taxpayers tax code through the Employment job
If you require any further advice or assistance in regards to your Personal Tax Affairs.
Please feel free to contact
Tel : 01212852534
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