04/09/2026
In Year Tax Payments - A real possibility!
Now that MTD for Income Tax is underway, HMRC's attention is turning to getting your tax money earlier than they currently do. This is no surprise to me, but it raises a lot of concerns. This is currently under consultation and we await to hear the outcome.
The concerns for me are-
Not only are taxpayers likely to be expected to pay tax over more frequently, but also need to review and update the tax figures as the year progresses. A burden on the taxpayer currently living through a cost of living crisis. Especially as the liability could be based on that from 2 years earlier. Tax could also be collected via PAYE where the self-employed have other taxable income.
More work for us, and more fees for the poor client! This burdens payroll operators, software developers, when they already have a headache with payrolling benefits from 2026/27, e-invoicing from 2029, plus another two years of MTD ITSA roll out.
Quite honestly this is all getting a bit much. So many new things being pushed through before previous roll outs are fully in place and operating properly. The Government may like the idea of digital and getting their tax at the point income has been earned, but to try and achieve this all in very quick succession is bonkers and a huge strain on everyone, both physically & mentally.
