The end of July sees the second payment on account falling due for the 2013/14 tax year, for those that are subject to them.

HMRC normally contact taxpayers regarding these at the beginning of July, although I always also contact clients as well just in case HMRC’s communications go astray.

As payments on account are estimated based on the 2013 tax return, it is important to prepare the return for 2014 before the end of July so that these can be finalised.

If the business profits have gone down (perhaps by investing in the business by purchasing new equipment) then we can apply to reduce the July payment on account.

Please do get in touch if you think that your 31/7/14 payment on account can be adjusted, or if you have any tax queries.