Bounce Back Loans still available but act fast

The Bounce Back Loan Scheme offering up to £50,000 to businesses depending on turnover is open until 31 March 2021.

If you have received a Bounce Back Loan but has not claimed the full 25% of turnover amount, the loan can be topped up but applications must be made by 31 March 2021.

Loans are guaranteed by the government in full and benefit from zero fees and interest for the first 12 months then 2.5% interest thereafter. No repayments fall due within the first 12 months and the six year term can be extended to 10.

One of the quickest ways to apply is via the business’s online banking system.

Self Assessment

Today HMRC has announced Self Assessment customers will not receive a penalty for their late online tax return if they file by 28 February.

More than 8.9 million customers have already filed their tax return. HMRC is encouraging anyone who has not yet filed their tax return to do so by 31 January, if possible.

But anyone who cannot file their return by the 31 January deadline will not receive a late filing penalty if they file online by 28 February.

Taxpayers are still obliged to pay their bill by 31 January. Interest will be charged from 1 February on any outstanding liabilities.

Taxpayers who cannot afford to pay their tax bill on time can apply online to spread their bill over up to 12 months. But they will need to file their 2019 to 2020 tax return before setting up a time to pay arrangement, so HMRC is encouraging everyone to do this as soon as possible.

Self assessment tax returns- late-filing penalties

HMRC has rejected calls to reconsider automatically waiving late-filing penalties for self assessment tax returns due on 31 January, but confirmed that deadlines missed due to COVID-19 should not result in having to pay a penalty provided an appeal is made.