In these trying times and in light of the deadline for submission of returns rapidly approaching we are hearing many clients have making comments about their tax payments and the usual reluctance to actually paying their tax…

A couple of our clients have mentioned about HMRC being able to delay their tax and not charge them penalties. We have subsequently looked into this so called “Business Payment Support Service” that the Revenue offer (and in fact recently recommended it to clients) who had concerns about meeting their tax payments.

The client in question has said that he was offered an agreement over the phone of delaying the tax due in January by 2-5 months – without any surcharges being issued or additional penalties. He pushed further and they were willing to spread his payments over 12 months. Any further than 12 months and a decision is apparently given to the local tax office.

The only downside is that you must keep up the payments or the agreement is void. Also there is a small interest rate of 2% above base rate until the liability is repaid.

Obviously this may come in useful to some tax payers as it encompasses ANY HMRC payment that you are concerned about not being able to meet, including corporation tax, not just the usual income tax. This could save drawing down on overdrafts from the bank not to mention surcharges that will not be withdrawn if you decide after they are issued that you can’t pay your tax!!

The number is 0845 302 1435  -  link www.hmrc.gov.uk/pbr2008/business-payment.htm

Or please contact finance 4 chiropractors for more details on 01872 271655
support@finance4chiropractors.com