HMRC Terminological Inexactitude

Overdue or not that is the question whether in the HMRC mind or actual

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I'm now on my 4th explanation to clients who have received their HMRC statement showing overdue tax. In fact it is the 31/07/20 on account payment which is not now due until 31/01/21 and therefore NOT Overdue

Moan ends

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By Paul Crowley
30th Oct 2020 14:30

Easier to explain than PAYE demands, when client has paid all that client should have

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By richard thomas
30th Oct 2020 16:22

If you go by what is said on gov.uk:

"If you cannot pay because of coronavirus (COVID-19)

If you did not make a Self Assessment payment on account due in July 2020, your payment deadline will have been delayed (deferred) until 31 January 2021. You do not have to contact HMRC and will not have to pay a penalty."

it is because your clients have not been unable to pay because of coronavirus, as only they seem to be the beneficiaries of the deferral.

Or it may be because although in self-assessment they are neither "self-employed people nor sole traders" (yes I thought the latter were included in the former too), as this is the category in the Covid guidance from which you end up at the bit about deferral of PoA2.

That's the general pages on Covid assistance. Before I go to the HMRC pages, I would point out that the bit about not having to pay a penalty is true in way, but then there is never as penalty, as distinct from interest, on a late payment of a PoA.

The HMRC pages (https://www.gov.uk/guidance/defer-your-self-assessment-payment-on-accoun...) also say:

"You had the option to defer your second payment on account if you were:
- registered in the UK for Self Assessment and
- finding it difficult to make that payment by 31 July 2020 due to the impact of coronavirus"

But the deferral is not restricted to the self-employed or sole traders here.

But I understand the HMRC have said that they couldn't [be a***d to] reprogram their computer to stop the PoA registering as due and so overdue.

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By jonharris999
30th Oct 2020 19:15

Only your 4th, Bernard? You don't have many clients.

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Replying to jonharris999:
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By bernard michael
31st Oct 2020 09:27

jonharris999 wrote:

Only your 4th, Bernard? You don't have many clients.

Only 4 have bothered to bother me so far this week

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