It’s that ti
me of year again when some of you will owe money to HMRC for ‘Payments on account’!
‘Payments on account’ are advance payments towards your self-assessment tax liability and have to be paid twice a year, unless:
- Your self-assessment tax liability was less than £1,000 in the prior year, or
- You pay more than 80% of your tax liability at source
Each payment is half your previous year’s tax liability and has to be paid no later than the 31st January and 31st July.
As the 31st July 2016 is fast in approaching you need to ensure that if you have a payment on account to make for 15/16 that this is made to HMRC soon, to avoid interest being applied for late payment.
If you are unsure if you owe anything to HMRC, please speak to your tax adviser who will be able to assist.
For more information on our tax and other services, please get in touch either by phone on 01324 441 250 or email at adviser@drummondlaurie.co.uk