It has emerged that HMRC are experiencing a computer glitch concerning Self-Assessment Payments on Account for 2018/19.
The result has been that some have experienced an unexpected windfall with their first 1st payment on account for the 2018/19 tax year, paid in January, has been refunded to them incorrectly. Others have just not been asked to make a payment to account in January and again HMRC have not asked for the second payment on account to be made this month.
HMRC have announced that taxpayers who do not receive a statement of account need not pay anything until January 2020, and that no interest will run on the advance payments that should have been made.
This will result in the full tax liability for 2018-2019 becoming payable in January, and so those affected should bear in mind that the bill has merely been deferred.
We would remind you that the 1st payment on account for the 2019/20 tax year is also due on 31 January 2020, so the tax payable in January could be three times as much as you would normally be asked to pay at that time of the year, so worth budgeting for.
Get in touch
If you think you are affected by this and would like advice on how to proceed, please do get in touch.