Further announcements have been made by Rishi Sunak to assist people in paying their tax liabilities as COVID appears to be taking hold once again.

Previously it was possible for people to defer paying the second payments on account that were due on 31 July 2020 to 31 January 2021.

It is now possible where someone is unable to pay the total tax liability that falls due on 31 January 2021 to spread the payments over 12 months to 31 January 2022.

Where the liability is under £30,000 the application for time to pay can be made online and will be approved automatically. If the liability exceeds £30,000, or the 12 month payment plan is not sufficient you will need to contact HMRC to agree a time to pay arrangement.

This measure will provide some relief for people who have been adversely affected by COVID and who are going to struggle to pay their tax.