With the deadline for making your Self Assessment Payment on Account looming (31 July), you may be wondering what happens if you make your payment late.
Well apart from lots of reminders, HMRC will apply interest to the outstanding amount from 1 August. Currently this is 2.75% (see more here).
If you do feel you may be late with your July Payment on Account is is advisable to get in touch with HMRC sooner rather than later to arrange a payment plan. Give HMRC a call to try and arrange instalments.
If your circumstances have changed, for example you are no longer self employed and have taken on a full time position you can apply to reduce your payments on account.
Read more about reducing payments on account here.
Anita is a Chartered Accountant with over a decade of experience taking self employed business owners from financially confused to business savvy.
She is the creator of the ‘Go Self Employed’ website, which her corner on the internet where she makes self employment less terrifying.