i have just completed my tax return for my self employment ( i am employed also full time ) and when i go the the calculation it tells me what i owe for 2010/2011 but its also asking for an additional payment towards 2011/2012 . This has never happened before and the tax office is closed today , does anyone have any idea why and am i doing something wrong when completing the form ? TIA
You might do better asking this one again tomorrow, jasmin - people are still on holiday today. I have heard however that some self-employed people may be asked for payment on deposit upfront for next year, but I couldn't tell you where I heard it.
If the amount you owe for 2010/11 is more than £1,000 then you will also have to make payments on account for 2011/12 (basically equivalent to half the 2010/11 amount by 31/1/12 and half by 31/7/12).
Presumably in previous years the amount due was under £1,000 so no payments on account were needed.
thank you both for answering, i thought i was doing something wrong but after reading your reply hjd i did find something about paying on account on the HMRC website.