HMRC are now issuing six month late payment penalty notices, as the due date for 2019/20 tax payments was over seven months ago (includes consideration to the additional months extension as a result of the pandemic). Taxpayers facing financial difficulties due to the impact of COVID-19 may have entered into a time to pay arrangement with HMRC to settle their tax liabilities in instalments. If this is the case, these penalties can be suspended, provided all the following conditions are satisfied:
Conditions required for a suspension
- they must approach HMRC before they become liable for the penalty
- HMRC must agree to a time to pay arrangement
- the customer must adhere to the arrangement and comply with any conditions of the arrangement.
If you have any queries regarding any notices you have received from HMRC, please do get in touch.