Self assessment HMRC tax deadline moved to February 2022, there is a catch!
HMRC allowed self-assessment returns an extra month to be submitted back in January 2021, and you may have heard through the media that HMRC have extended the deadline again in 2022?
It’s partially true, HMRC have stated they will not be issuing penalties providing you file before the end of February (28th February 2022), however much of the news surrounding this announcement appears to be leaving out one crucial factor, it may cost you!
If you delay your self assessment tax submission past the 31st January 2022 and it’s found you do have income tax to pay, you will still be liable for interest on your tax if you delay payment until after the 31st January!
If you feel you may not be able to pay your income tax to HMRC on time this year, please do not use that as reason to delay your self-assessment return. HMRC have had a scheme running for quite a while now called a Time To Pay arrangement, if you think you might have difficulty paying immediately, it will definitely be worth checking out. You can apply for this scheme online without making appointments to speak with someone from HMRC, provided your tax due is less than £30,000.
https://www.tax.service.gov.uk/pay-what-you-owe-in-instalments
If you have any questions about the Time To Pay scheme, or need your self-assessment return completed fast, please do contact us today.
You can find the complete website post from HMRC by searching the business section of HMRC’s website using the link below; it was published on the 6th January 2022 and is subject to change if HMRC change the regulations for the self assessment tax penalty waiver.
https://www.gov.uk/browse/business
You will also find information on that page regarding your class 2 national insurance contributions and how delay in payment could affect your benefit entitlements you are soon due to receive. If you are in receipt of working tax credit / universal credit or similar, delaying submission of your return may affect these benefits too.
