Taxpayers who were planning to use a personal credit card to pay their 2016/17 tax bill (due by 31 January 2018) will need to pay HMRC early or put alternative payment arrangements in place, warns the Low Incomes Tax Reform Group (LITRG).
The Low Incomes Tax Reform Group (LITRG) has welcomed today’s announcement by the Government that there will be a one year delay before the removal of Class 2 National Insurance contributions (NICs) in order to enable consultation on the impact of its abolition on the self-employed on low incomes.
Those considering their options under the new pension freedoms have a very wide range of largely unpredictable factors to take into consideration before making a major financial decision which could affect them – and their families – for perhaps the next 30 years.
Those on low incomes are often on the lookout for a bargain when shopping online. But LITRG have recently been contacted by someone who received an unexpected bill, having bought something ‘cheaply’ from the USA. This meant the item turned out to be more expensive than if he had just bought it in the UK.
Under the new Pay As You Earn (PAYE) ‘dynamic coding’ system, HMRC are now making more frequent changes to tax codes. This aims to help people pay the right amount of tax by the end of the tax year, but it might cause problems for some people.