Barbara (see Examples 2 and 3 above) pays all of her late payment penalties on 4 March
Question:
Barbara (see Examples 2 and 3 above) pays all of her late payment penalties on 4 March 2023. Calculate the total interest payable by Barbara in relation to her income tax and Class 4 NICs for 2020-21, assuming an interest rate of 2.6% throughout.
Data from Example 3
Barbara (see Example 2 above) makes the following payments for 2020-21:
Compute the late payment penalties (if any) which Barbara would incur and state the dates by which these penalties should be paid.
Data from Example 2
Barbara's liability to income tax and Class 4 NICs for tax year 2019-20 was £26,000, of which £4,000 was paid by deduction at source. Her liability for 2020-21 is £30,000, of which £1,000 has been deducted at source. State the dates on which Barbara is required to pay her 2020-21 liability and compute the amount payable on each date.
Ignore Class 2 NICs and capital gains tax.
Step by Step Answer:
i Interest on the second POA 39 days late is 3048 11000 x 26 x 39366 The first 4000 of the ba...View the full answer
