HMRC extends the self-assessment deadline by one month
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Published 19 January 2022
HMRC extended the filing deadline for self-assessment tax returns to 28 February 2022.
HMRC is also postponing late-payment penalties for self-assessment taxpayers until 1 April because it “recognises the pressure” individuals and businesses are facing because of Covid-19.
The move – a repeat of concessions made last year – is good news for the estimated 5.7 million people who have still not filed their 2020-21 tax return. Almost 6.5 million people have already done so.
For all of our clients we have recommended to file their return as usual by 31 January and assuming they are in a position to do so, the to pay the tax at the same time.
For anyone who has financial difficulty, then definitely it is worth paying the tax in instalments (via a time to pay agreement), as usually late payment of self-assessment tax would attract a 5% surcharge (in March) so it is not a cheap source of ‘finance’ but with the surcharge waived, then any outstanding tax will simply attract interest at the HMRC rate.