Overpaid on Payments on Account

PoisonIvy

Hello,

Apologies if this has been asked before but I can't find a thread dealing with my particular question.

I took on a full-time job in April 2014, having previously been a sole trader for many years. I wound up my sole trader business in July 2014, plus I had a small casual income from DJing which I expected to carry on.

My accountant applied to have my payments on account for 2014/2015 reduced based on my estimated income. In the end, I wound up giving up the DJing, and as a result had far less freelance income for this year. (I've done my own SA return for the first time this year, as my accountant's fees would have been far more than what I've actually earned freelance in 2014/2015.)

Long story short, I have overpaid on my first and second payments on account. I've just submitted my SA return, which has calculated my total tax for the year at ~£140. I've already paid ~£600 total for my first and second payments on account in January and July 2015, so with my back-of-an-envelope figures, I should be due a refund of about £460.

My question: Do I still need to pay the £140 by 31st Jan and then apply for a refund for the lot (£740)? Or should I not pay the £140 and apply for the refund now? I'm worried that I will be fined £100 if I don't pay on Jan 31st.

Any insight appreciated.

TheCyclingProgrammer

If your payments on account exceed your tax owed for the year you have nothing to pay. You've already paid.

Give it a few days and you should see your tax bill reflected on your account showing a credit balance which should be refunded to you.

PoisonIvy

Phew, thanks.