EPISODE TWO – REDUCING THE TAX PAYMENT ???
If you have a tax bill to pay at the end of January ………
Stop ✋ Before you pay it !!
You might be able to send less money to HMRC ?.
Why? ?
Part of the tax payment will be an estimate of your tax bill for the first year of the pandemic, starting a couple of weeks into the first lockdown.
It will be an estimate based on the 12 months BEFORE the first lockdown (give or take a few days).
If your profits fell in the pandemic the estimate will be TOO HIGH!
If you don’t do anything, you will pay too much tax, then have to get it back later.
But….
You can apply to reduce the estimate to a more realistic payment and settle up later with HMRC when you can tell them the true figure.
This means …….
Better cash flow ?
More money to help the business survive, develop or spend on having a good time ?
No waiting for HMRC to pay you back ?
Being able to show off to your mates ☺️
Would you like to keep more of your money?
Would you prefer not to make a loan to HMRC, and then have to get it back?
Are you excited about episode 3? ?