July 31 second payment

robsoneee

Hi everybody.

I would like some advise about self assessment tax. In 31 january 2015 i paid my tax plus 50% for the next year. Now i should pay second 50% till 31 july 2015 but i already did tax return for next year and the amount i have to pay till 31 january 2016 is less than that 50% i already paid.

Do i still have to paid second 50% even i already overpaid?

purdyoaten

robsoneee wrote: »

Hi everybody.

I would like some advise about self assessment tax. In 31 january 2015 i paid my tax plus 50% for the next year. Now i should pay second 50% till 31 july 2015 but i already did tax return for next year and the amount i have to pay till 31 january 2016 is less than that 50% i already paid.

Do i still have to paid second 50% even i already overpaid?

No - log in to your account. The current position of your account should be displayed including, as you suggest, the amount that you are in credit.

robsoneee

I check my account and in "current position" still says that i should pay second 50%.
Is it take some time till system update new data?

When i complite my tax return system says that was successfully submitted and was received by HM Revenue and Customs at 20:55 GMT on 26 July 2015.

agrinnall

robsoneee wrote: »

I check my account and in "current position" still says that i should pay second 50%.
Is it take some time till system update new data?

When i complite my tax return system says that was successfully submitted and was received by HM Revenue and Customs at 20:55 GMT on 26 July 2015.

I think you may need to wait until later in the week to see if your new return has been processed and reflected in what you are required to pay on Friday, expecting it to have been done in less than 24 hours is probably rather optimistic.

The alternative would be to ring HMRC and see if they can look at your data and confirm that you don't have to pay anything.

polymaff

When I was in the exact same situation it took HMRC five weeks after submission of the self-assessment return to update my account to the actual amount owed on 31st July.

So, watch them, call them, but be prepared to have to pay and wait for a refund.

[ I submitted on 18th May. This is the sort of submission date to aim for when you are caught up in the Payments on Account regime ]

purdyoaten

polymaff wrote: »

When I was in the exact same situation it took HMRC five weeks after submission of the self-assessment return to update my account to the actual amount owed on 31st July.

So, watch them, call them, but be prepared to have to pay and wait for a refund.

[ I submitted on 18th May. This is the sort of submission date to aim for when you are caught up in the Payments on Account regime ]

No - you make a claim to reduce EACH payment on account to half of the actual amount due.

Why on earth would you pay HMRC more than is due?

For example - a payment of £5000 was made as first payment on account in January 2015 for 2014/15 tax year. The tax return is submitted before 31st July and the tax liability for 2014/15 is found to be £4000. Simply reduce each POA to £2000 and await the refund of £1000. There is NO need to make any further payments.

MDMD

purdyoaten wrote: »

No - you make a claim to reduce EACH payment on account to half of the actual amount due.

In fact this should be automatic as soon as the return is processed. Online returns usually show up on the system in 48 to 72 hours.

polymaff

MDMD wrote: »

In fact this should be automatic as soon as the return is processed. Online returns usually show up on the system in 48 to 72 hours.

Agreed - but the OP has cut it rather fine.

purdyoaten

polymaff wrote: »

Agreed - but the OP has cut it rather fine.

Log into the self-assessment account. Choose 'Self assessment Details and Options'.

On Left hand side choose 'reduce payments on account'.

Reduce EACH payment to the amount required and submit.

This option has always been available.

polymaff

purdyoaten wrote: »

Why on earth would you pay HMRC more than is due?

Nobody is arguing with that but, if despite his efforts the account still shows a payment due by the 31st on, say, late Wednesday, it'd be easier to pay it rather than start a war with HMRC.

robsoneee

I could do that but that first 50% is more than whole amount i should pay for last year. So now they own me some money.