Confused with my Self Assememnt.

smoothieee

Please I need some clarity.
This is my second year submitting self assessment.
2019 Turnover was = 4400 and I was under the tax threshold
2020 Net profit was = 26000.

After the computation, I was told TAXES For:

• 2019/20 = £4263.12
• First Payment on Account for 2021  = £ 2281
• Total I paid was = £6,553.68.

Its been 3 weeks since I paid, but whenever I logged into Self Assessment, it shows that my account is in Credit, that I have overpaid and, should ask for a repayment.

''' You have overpaid. £6,553.68 is available for repayment.'''  Please request a Repayment. 

Please can someone clarify what this means, is it that I paid too early or what could be the meaning of the above message relating to over payment.  

yorkiechick

It will show as a credit as the amount is techinically not due until 31st January 2021. After 31st January the amount will be allocated to your tax liability.

whizzywoo

smoothieee said:

Please I need some clarity.
This is my second year submitting self assessment.
2019 Turnover was = 4400 and I was under the tax threshold
2020 Net profit was = 26000.

After the computation, I was told TAXES For:

• 2019/20 = £4263.12
• First Payment on Account for 2021  = £ 2281
• Total I paid was = £6,553.68.

Its been 3 weeks since I paid, but whenever I logged into Self Assessment, it shows that my account is in Credit, that I have overpaid and, should ask for a repayment.

''' You have overpaid. £6,553.68 is available for repayment.'''  Please request a Repayment. 

Please can someone clarify what this means, is it that I paid too early or what could be the meaning of the above message relating to over payment.  

As @yorkiechick says above.
Don't ask for a refund - you'll only have to pay it back again in January 2021.

polymaff

Perhaps you've been blind-sided by your first encounter with Payments on Account (PoA)?  Many are.

To avoid this, ignore what you are told "After the computation" and rely upon your Statement of Account from HMRC which will tell you what you need to pay AND BY WHEN you need to pay it.  Your SoA may tell you that you need to pay the £6,553.68 by 31st January 2021.

Leave things as they are and  you are giving HMRC an interest-free loan for 7 months.  Claim it back, put it in a savings account, and then pay it to HMRC by the due date and it could earn you some tens of £s in interest during that time.

Your choice...