Taxpayers using Time to Pay to spread cost of tax payments
Tax payments worth over £69 million are being spread through HMRC’s Time to Pay facility, according to the tax authority.
HMRC said that nearly 25,000 self assessment taxpayers have set up an online payment plan to manage their tax liabilities in up to 12 monthly instalments.
Last October HMRC increased the threshold for self-serve Time to Pay arrangements from £10,000 to £30,000. Once self assessors have completed their 2019/20 tax return and know how much tax they owe, customers can use the self-serve facility to set up monthly direct debits and spread the cost of their tax bill.
The Time to Pay threshold was increased to help businesses and individuals who have been adversely affected by the coronavirus (COVID-19) pandemic.
Karl Khan, HMRC’s Interim Director General for Customer Services, said: “We know the past year has been tough for many businesses and self-employed people, which is why we’re helping them spread the cost of their tax bill into monthly payments.
“Self assessment customers can use the self-serve Time to Pay facility for amounts up to £30,000, with almost 25,000 customers already benefiting from the service.”
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