Bigman2023

Hello, I paid 2nd payment on account in Feb 2024, it was described as not yet used and not, unlike first payment on account, as 2nd payment on account. After 6 April 2024 and thinking maybe I paid it too early I received the money as a repayment on 10 April. I immediately sent it back as I still needed to pay 2nd payment on account. Today it shows as being received in payments/credits but still described as not yet used. Why isn't it described as 2nd payment on account? Do I need to do something else, or is it correctly described and on after 31 July 2024 it will be allocated appropriately? Thanks

Hello, I have credited £1100 as payment on account for 2022-23 tax year, half before 31/1/24 and and half before 31/7/24. I have returned my 2023/24 self assessment tax return today (I am not self employed). I note on my HMRC app that it states I am in credit by £550, ie, only half of the payment on account. I also note the first payment on account is described as such, ie, first payment on account, yet second payment is described as 'not used yet'. Should I be worried that the second payment has been mis-described or is this normal? In a couple of days I will find out if the £1100 has been deducted from 2023-24 tax demand, if it hasn't what should I do? Thanks

Many thanks for your reply. I note the following, as I stated in my original post, the 2nd POA does not attract the same (albeit 2nd) allocated description as does the first POA, and your reply, unfortunately, does not answer this question. However, as much as online HMRC account gives no indication regarding 2nd POA allocated description let alone no numerical balance, ie, £0.00, HMRC app does state balance as £0.00 which is of course correct and does state basically what you said regarding 31 July. Just simply giving 2nd POA its proper allocated description would make this part of life less stressful

Hello, paid my second payment on account on 9 February, it cleared today showing in my HMRC account payments list. However, unlike first payment on account whose allocation description shows as 'first payment on account', the second does not, in fact no allocation description just as an overpayment. My concern is, even though the total balance for payments on account is met before 31 July, as the second payment has not been allocated correct description will the algorithm still be looking for the second payment after 31 July and start demanding more payments and late fees?

Hello, due to pay on demand payments by end of January and July 2024 for the first time, no problems. When I pay the larger January payment is that in one lump sum and the system separates the total into what was due for 2022/23 and on demand for 2023/24 and shows as much in my account, or can it be paid in the two separate amounts and the system will apply to the relevant sections? In addition, can you show image of how such payments will be presented in account? thanks

Hello, many thanks for your replies, you are confirming what I thought having search the issue. I wanted clarification because, unknown to you, I was charged 'on account' in the past with similar income sources and it wasn't until I challenged the online decision on the phone I was told I should not have been charged 'on account', hence the need for clarification.

I would appreciate your advice and guidance on the 2 questions (A & B) below. I have set out the facts in points 1 to 9, but can of course provide more information if needed. 1. I am UK resident for tax purposes. 2. I have never been self employed. 3. I am a pensioner receiving state pension. 4. I also receive an occupational pension from the Isle of Man Government. 5. My tax code is only applied to very small UK private pension (less than £200 per year). 6. My tax code cannot be applied to my Isle of Man pension nor to my state pension, therefore 80% of tax due cannot be collected this way (even though tax due is less than £3000). 7. My last year’s (2021-22) UK self assessment tax due was circa £950. 8. This year’s (2022-23) initial UK self assessment calculation has tax due circa £1050. 9. The calculation also states I have to pay ‘on account’ 50% more along with £1050 by 31 January 2024 and a further 50% of the £1050 by 31 July 2024. Question A. Is this demand for ‘on account’ tax payment correct for a non-employed, non self-employed retired pensioner, not least in a cost-of-living crisis? Question B. If the calculation is correct, will this ‘on account’ tax demand continue year on year, bearing in mind the UK tax system means my state pension is not taxed at source and the 1955 UK/Isle of Man double-taxation treaty changed in 2013 (effective 2014) which are in place, are not my fault? Yours sincerely