08/09 Payments on Account

[accountantpete]

On 31st January 2009 the first installment for 08/09 becomes due.

This is estimated on the basis of accounts sent in covering 07/08.

Many businesses will have experienced a significant reduction in profits so far this year and may have good cause to expect reduced profits for the remainder of the year.

If you are in this position then you can apply to reduce the payment of account when the assessment is received.

There are charges and penalties if you abuse this system but if you are experiencing genuine hardship then reducing the payment on account is an option.

When you receive the assessment for 08/09 you can download form SA303 from hmrc and apply to your tax office using this form.