Another rise in penalty interest rates looms
Yet another increase in the various rates of interest HMRC charges on unpaid taxes will kick in from 15 August. What is affected and what will the new rates be?
The Bank of England announced that it was increasing the base rate of interest by 0.5% on 4 August 2022. Inevitably, HMRC then announced that its range of penalty interest rates would also increase again. From 15 August, the following rates charged, and payable, by HMRC will apply:
- Late corporation tax paid quarterly - 2.75%
- Overpayment interest on corporation tax - 1.5%
From 23 August, the following rates for other taxes, including income tax, will apply:
- Late payment interest - 4.25%
- Interest on overpaid tax - 0.75%
Related News
-
Directors’ fees - can you escape PAYE?
You’ve been asked to join the board of a company in a purely advisory role. For tax and NI efficiency you want your fees to be paid to your own company. Does this arrangement fall foul of HMRC’s off-payroll rules?
-
P46 (car) deadline
-
Filing deadline for self-assessment tax returns
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.