Question about paying tax in advance? 26 July 2022 at 3:55PM in Cutting tax 14 replies 236 views

purdyoaten2

You claim a refund. However, if you are sure that your liability will be that low, why pay in July? You could, for example, reduce each payment to £645.85 which would mean that the payment made in January is sufficient to cover with no payment due in July. 

https://www.gov.uk/government/publications/self-assessment-claim-to-reduce-payments-on-account-sa303

icicat

Thanks man. yeah that's what I was thinking, just wasn't sure if the July payment was still mandatory even if my calculation showed less. So might be best to do a calculation before the 31st and if it is less then just pay whatever I owe (with Jan payment added) and forget about the second instalment.

purdyoaten2

icicat said:

Thanks man. yeah that's what I was thinking, just wasn't sure if the July payment was still mandatory even if my calculation showed less. So might be best to do a calculation before the 31st and if it is less then just pay whatever I owe (with Jan payment added) and forget about the second instalment.

Yes, but you will need to submit the return or HMRC will be looking for the payment next week UNLESS you complete the SA303 linked in my previous post. 

icicat

Great, I'll look into the SA303. Thanks for all your help