A dedicated helpline has been set up by HMRC to help businesses and self-employed individuals in financial distress and with outstanding tax liabilities receive support with their tax affairs.
Each agreement is made on a case by case basis. The hotline number is 0800 024 1222 and more details are available here.
HMRC will charge interest on deferred tax payments. Interest on late payments of taxes was reduced from 3.25% to 2.75% with effect from 30 March 2020
This was then further reduced to 2.60% from 7 April 2020.
In addition, payment penalties will be waived during the coronavirus outbreak.
HMRC often require cash flow forecasts to be prepared, a service which Bishop Fleming can assist you with.
From 1 October 2020 an enhanced Time to Pay service can be used where a tax bill is between £32 and £30,000 provided the taxpayer has no other existing tax debts or payment plans already set up, tax returns are up to date and it is no more than 60 days since the tax was due for payment.
For further help, please check out our Business after COVID-19: Transition Knowledge Hub.