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Posted Tue, 21 Nov 2023 20:58:30 GMT by
Hi, Last year, when I did the tax return for 2021/2022, I paid the amount for that tax year, plus two payments on account for 2022/2023. Now I'm currently doing my self assessment for 2022/2023 (self employed) and the final calculation asks me to pay the amount for 2022/2023, plus two payments on account for 2023/2024, however I see that the two payments on account for 2022/2023 I already paid with last year's tax return are not being deducted. Do you confirm I need to send my tax return 2022/2023 as is (so with no deduction calculated), and then once it is submitted, the system will take into consideration the amounts I already paid and deduct those from the final bill I will have to pay?
Posted Wed, 22 Nov 2023 12:49:22 GMT by HMRC Admin 10 Response
Hi
The payments on account are not part of the self assessment tax calculation, as the calculation shows the amount of tax payable and not the tax paid. Your statement of account, will show the payments on account you paid and either an overpayment from your tax return or a balancing payment.
An example of this would be a cacluation showing an underpayment of £2000.00.  
The statement shows two POAs of £900.00 each, leaving a balancing payment of £200.00.  
Ne payments on account of £1000.00, will be created as half of £2000.00 underpayment from the tax return.

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