Self Assessment Statementsby Computare on 07/07/20
This week is the week that HMRC sends out Self Assessment Statements to taxpayers requesting the second payment on account to be paid for the 2019/20 tax year.
We all have the right to defer this payment until 31st January 2021 but remember that if you do not pay now then there is likely to be quite a substantial tax bill to pay at the end of January 2021 when the tax regime returns to normal. To be precise the tax liability will not be more overall but it will all hit at the same time; just after Christmas.
If you decide not to make the second of payment on account now you should make sure that you keep the tax save and ready to pay when it becomes due in six months time. It may be worthwhile keeping the funds in a separate account or even better, switching it into Premium Bonds. You never know...