January 2022 is a ‘taxing’ month. It is the last month to file a self-assessment tax return (electronically) for 2020-21 and avoid late filing penalties.

It is also a month when significant tax bills may become payable.

Companies

Companies that have a 31 March 2021 year end will need to pay any corporation tax due for the year ending on that date, on or before 1 January 2022.

New Year revellers may want to take this into account if they fit this profile and pay any corporation tax due the week before New Year’s Day.

Self-assessment

Any balance of income tax or NIC due for the tax year 2020-21 plus any first payment on account for 2021-22, both become payable on or before 31 January 2022.

Need time to pay?

If cash flow restricts your ability to meet these tax payments by the due dates, you could set up a Time to Pay facility with HMRC.

In a recent press release on the subject HMRC said:

“Where taxpayers are struggling to pay their bill in full, the self-serve Time to Pay service allows Self-Assessment individuals manage how they pay their tax liabilities. They can use the online service for tax bills worth up to £30,000 without the need to talk to HMRC.

“If they can’t pay in full, taxpayers can set up their own Time to Pay arrangement online if they:

  • have filed their tax return for the 2020 to 2021 financial year
  • owe less than £30,000
  • are within 60 days of the payment deadline
  • plan to pay their debt off within the next 12 months or less

“If taxpayers owe more than £30,000, or need longer to pay, they should call the Self-Assessment Payment Helpline on 0300 200 3822.

“The service will create a bespoke monthly payment plan based on how much tax is owed and the length of time needed to pay.”

Share:

Share on facebook
Share on twitter
Share on pinterest
Share on linkedin
Accounting in Sheffield and Doncaster Certificates

Recently Added News

Related News

Lockdown survival tactics

We have listed below a number of ideas that might ease your progress through any continuing COVID-19 related disruption during 2022. The following comments are

Facing 2022

We are now two years into the COVID-19 pandemic and the virus is showing a remarkable ability to adapt. In its latest form, the Omicron

Be prepared for change in 2022

We are all ‘up to here’ in accommodating COVID-19, and depending on our tolerance levels, this is likely to continue into 2022. There are remote

Quick Links

Web + SEO - LoudCrowd