2.    Spread the cost of your Self Assessment tax bill with HMRC's Time to Pay

What is Time to Pay?

Time to Pay is an HMRC service that allows taxpayers to spread the cost of their Self Assessment bill over regular monthly payments. It’s designed for those who can’t pay their bill in full by the deadline. By using Time to Pay, you can avoid further late payment penalties, provided you stick to the agreed payment plan.

Key points to know:

• Eligibility: If your tax bill is less than £30,000, then a payment plan can be set up online without needing to contact HMRC. If you owe more than £30,000, you’ll need to contact HMRC to discuss your options.

• Deadline: The tax return and payment deadline for the 2023 to 2024 tax year is 31 January 2025. To use Time to Pay, you must first have already filed your tax return.



• Payment Terms: You can spread payments over a maximum of 12 months, making budgeting more manageable. However, you must ensure you budget for the monthly payments, as missed payments will result in interest and penalties.

If you’re worried about how you will pay your tax bill, Time to Pay may be a practical option for you to consider.

3.    The importance of right to work checks continues to be emphasised

Recent immigration enforcement activity has highlighted the need for employers to ensure their workers have the right to work in the UK. With thousands of enforcement visits, arrests, and hefty fines being issued, businesses that neglect their responsibilities risk serious consequences.

Crackdown on illegal working

Immigration Enforcement teams have been targeting sectors prone to illegal employments, such as car washes, nail bars, supermarkets, and construction sites.

Between July and November last year, enforcement teams conducted thousands of visits across the UK. These led to 770 arrests in London alone, with nearly 1,000 premises inspected.

Employers found guilty of hiring workers without the right to work face fines of up to £60,000 per worker, along with reputational damage and potential criminal charges.

How to stay compliant

Employers are required to carry out right to work checks before employing someone.

They need to:

• Request sight of original documents: Review the worker’s passport, visa, or other approved documents that prove their right to work in the UK.

• Verify authenticity: Confirm that the documents are genuine, belong to the individual, and haven’t expired.

• Keep records: Retain copies of the documents, including the date verified, for at least two years after employment ends.

• Use the Home Office’s online service: The Home Office offers an online right to work checking service for non-UK nationals. This can provide you with confirmation of a worker’s status.

4.   Get ready for Making Tax Digital for Income Tax

Prior to the Autumn Budget, there was hope that the Government might further delay the introduction of Making Tax Digital for Income Tax (MTD for IT). However, such hopes were dashed with confirmation of the previously announced timescales and an additional announcement that individuals with income from trading or property of over £20,000 will be mandated to comply with MTD for IT requirements in future. The mandate timescales are as follows:

From April 2024

Eligible individuals can voluntarily participate in the MTD for IT testing programme.

From April 2026

MTD for IT will be mandated for landlords and self employed individuals with combined trading and property income over £50,000.

From April 2027

MTD for IT will be mandated for landlords and self employed individuals with combined trading and property income over £30,000.

From a future date (TBC)

MTD for IT will be mandated for landlords and self employed individuals with combined trading and property income over £20,000.

At present, no mandate deadlines have been set for partnerships.

Complying with the requirements of MTD for IT will involve keeping business records in specialist compatible software and then using that software to submit the business results to HMRC on a quarterly basis.

5. Spring Forecast scheduled for 26 March 2025

The Chancellor of the Exchequer, has confirmed 26 March 2025 as the date for the Spring Forecast.

The Office for Budget Responsibility is required to produce two forecasts each financial year by the Budget Responsibility and National Audit Act 2011.

The Chancellor will accompany the forecast with a speech to Parliament. She has stated that she is committed to the stability that having only one major fiscal event a year brings. This should mean that her speech is unlikely to include any major tax changes. However, the current movements in the bond markets may scupper this.