Can you defer your tax payments?

We know that running a business can be tough, especially when it comes to managing your finances and taxes. That’s why we wanted to share with you some helpful information about what to do if you find yourself unable to pay your tax bill and looking to defer tax payments.

First and foremost, it’s important to understand that if you are unable to pay your tax bill, you are not alone. Many business owners face this challenge and there are options available to help you manage it.

The best practice is to contact HM Revenue and Customs (HMRC) as soon as possible if you know you won’t be able to pay your tax bill on time. This is important because it shows that you are taking responsibility and are willing to work with them to find a solution.

If you need to defer tax payments there are several options available to you, these include setting up a payment plan, requesting a Time to Pay arrangement, or asking for a deferral of payment. Each option has its own benefits and considerations, so it’s important to think carefully and decide which one is best for your specific situation and business setup.

HMRC are accommodating and acknowledges the stress and worry that comes with not being able to pay your tax bill. It’s a difficult situation to be in, and they offer some helpful solutions to ensure an amicable solution.

It is important to prepare and keep records of your communication with HMRC and seek professional advice if needed. These are crucial steps to take to ensure that you are handling the situation properly and avoiding any potential penalties.

Remember, if you find yourself unable to pay your tax bill, don’t panic. Take a deep breath, reach out to HMRC, and explore your options. With the right approach and a positive attitude, you can navigate this challenge and come out on top.

At Optimise, we work with our clients throughout the year and keep a clear and open dialogue about how to manage and forecast your tax liabilities. It is important to work with an accountant who understands your business and works with you to make sure there are no unforeseen surprises.

If your accountant is not giving you the support you need to manage your taxes appropriately, perhaps it is time to look elsewhere. We are always happy to chat and explore the best way to manage your tax appropriately, if you need any help, get in touch, we are always happy to help.