COVID-19: Information for individuals in Self-Assessment

Page last updated 24 September 2020

This page includes notes covering the key announcements relevant to individuals within the self-assessment system relating to the COVID-19 crisis including:

  • Deferral of July 2019 payment on account
  • Time to pay arrangements
  • Non-resident individuals and the Statutory Residence Test
  • Deferral of Off-payroll working rules for the private sector  

Self-employed individuals may also wish to see our ‘information for businesses’ page.

Deferral of July 2019 payment on account

Individuals in self-assessment who would usually be required to make a payment on account of their tax for 2019/20 by 31 July 2020 were allowed to defer this payment until 31 January 2021.

Originally the measure was restricted to self-employed individuals, but it was confirmed on 25 March 2020 that it would apply automatically to anyone in self-assessment, including landlords and those with investment income, who was finding it difficult to make the second payment on account by 31 July 2020 due to coronavirus.

The deferral was automatically applied - there was no need to claim it - and statements issued by HMRC were amended to show the July payment as due 31 January 2021 so that those that did take advantage of the deferral would not be charged interest automatically by HMRC's IT systems. However, those individuals who could afford to make the payment were encouraged to do so.

On 24 September, the Chancellor announced that further provisions would be made to help those struggling to pay their self-assessment bills. Taxpayers with up to £30,000 of Self-Assessment liabilities due will be able to use HMRC's self-service Time to Pay facility to secure a plan to pay over an additional 12 months. This means that Self-Assessment liabilities due in July 2020 will not need to be paid in full until January 2022. Any Self-Assessment taxpayer not able to pay their tax bill on time, including those who cannot use the online service, can continue to use HMRC's Time to Pay Self-Assessment helpline to agree a payment plan.

Time to Pay Arrangements

Self-employed people with outstanding tax liabilities, may be eligible to receive further support with their tax affairs through HMRC’s Time to Pay (TTP) service. If you have missed a tax payment or you might miss your next payment due to COVID-19, you can call HMRC’s dedicated helpline: 0800 0159 559.

HMRC will agree on a case-by-case basis. Further detail is available here

Non-resident individuals and the Statutory Residence Test

HMRC have published new guidance on 23 March 2020 on exceptional circumstances for the purposes of the Statutory Residence Test and Coronavirus (COVID-19).

This new guidance, to be read in conjunction with the current published guidance on exceptional circumstances (see RDRM13200 onwards), is on the GOV.UK website.

Deferral of Off-payroll working rules for the private sector

On 18 March, the Government confirmed that it would be deferring the rules on off-payroll working until 6 April 2021.