Tax - Payment on Account questions...

wallofbeans

Hello All,

I'm digging into my tax return.. and my first pass owed amount is fine but it's the 'payment on account' bit that is killing me and is problematic...

I have been self-employed for a few years but have recently (starting September this year) gone back to PAYE. I will owe some tax for next year, I should be able to calculate exactly how much in fact, but I don't want to give it to them yet!

Can I stop the 'payment on account' thing as I'm no longer self employed? And just deal with next years owed tax when needed?

Also, am I right in thinking that the POA money they have already taken this year (once in Jan and then again in July) is not taken off when the online form tells you how much you owe?

Thank you for any help!

wallofbeans

Hmm. There is a 'reduce payments on account' option but it's a little confusing (for me at least)...

It states it "allows you to claim to reduce the payments on account you have been asked to make for the tax year ending 05 Apr 2015."

But I think I want to adjust the amount they are taking for tax year ending 5th April 2016 so I'm not sure this helps!

wallofbeans

Sorted. HMRC now have a 'web chat' option and spoke to them.

There is an option to reduce next years payments on account, it's just after you've almost submitted the return so doesn't show up until the process is one step away from being complete...