Tel: 01403 780 770

Building and protecting your wealth

News Update: Should You Pay Your July Payment on Account?

Usually, the 31st of July is the deadline to complete all your tax-related responsibilities. But this year, thanks to the coronavirus pandemic, the government is allowing for a deferment for your July Payment on Account.

This does not constitute advice and advice should be sought in all instances before acting on it. The Financial Conduct Authority does not regulate tax advice. 

You can postpone your payment on account until 31 January 2021 without interest or penalties. There’s no need to apply as deferral is automatic, however, it’s not the only option you have.

Pros for deferral

With the financial impact the lockdown has had on the country, many taxpayers would be happy to have more time to sort out their payments and use the cash they have on hand for more pressing matters.

Business owners and self-employed workers who might be experiencing hardship and could potentially owe tax can apply for a “Time to Pay” arrangement. The HMRC will wait a specified agreed-upon length of time for your deferral.

It might seem like the easy option, but if you’re in a position to pay your Payment on Account on time, the government is highly encouraging you to do so.

Pay as usual

It might be best to pay on time considering there’s no telling what the state of the economy will be by January and at that point, you’ll have another payment due as well. A double payment at the start of the year might be the last thing you need.

If you want to prioritise paying on time, there are alternative finance providers that could help you amortise your payments. Specialist lenders will be able to help you find a deal if that option is of interest.

It’s important to remember that even if you do defer payment you should still prepare your business accounts as soon as possible so you can attempt forecasting your January tax liability.

Get a little guidance

If this all seems like too much to handle on your own, we’re here to help. We’ll happily help you work out the best tax payment options with your full financial situation in mind. Don’t hesitate to get in touch with us today.

Want to build & protect your wealth?
Investments | Financial Planning | Retirement | Save Tax | Protection |

Dental & Medical Financial Services have been helping doctors and dentists to build and protect their wealth, whilst saving tax for over 25 years.
Call Darren to discuss your options.

Tel: 01403 780 770


Follow us on for regular financial and mortgage updates

Twitter                     LinkedIn

If you found this article interesting, why not share it?

Meet the Advisers

With over 20 years experience our advisors can help you meet your business and personal goals.

Who we Help

All our clients are doctors and dentists, just like you. As specialists we know your industry inside out.

Info & News

Make this the place you visit to keep up to speed with financial news for your sector.

Contact Us

Wherever you are in the UK we can help you build and protect your wealth.

Get Connected

to our specialist team

Tel: 01403 780 770

Keep Updated

Simply register your name and email below and receive our updates direct to your inbox

Dental & Medical Financial Services News Updates

Just for doctors and dentists

Read more news


Dental and Medical Financial Services is an appointed representative of Best Practice IFA Group Limited, which is authorised and regulated by the Financial Conduct Authority. Company registered in England no. 9158580 Registered office: 1 Market Square, Horsham, West Sussex, RH12 1EU

© 2014 Dental & medical Financial Services. All rights reserved. Website design by Goldmine Media.