If DM or a collection office mandated by HMRC accepts your request for payment, you should confirm it in writing. If you receive an oral agreement, you should ask for written confirmation. If not, there could be entries later, if there is a dispute over what exactly has been agreed. Customers must make a reasonable proposal on what they can afford over a specified period of time. The condition for companies to often encounter difficulties is the full payment and maturity of future tax debts. In situations where the payment deadline agreement also covers future maturities, HMRC may consider including these future commitments in the agreements. If this is not the trap, you will have to be content to be able to honor these future debts, as their late payment could lead to the termination of the contract. It can be difficult to negotiate time to pay with HMRC, but we are here to help. Our experienced team and strong relationship with HMRC means that such an agreement is more likely to be approved and that we have a high success rate to avoid tax penalties. We can also advise you if HMRC Time to Pay is right for your business. The best time to approach HMRC, if you are having trouble with your tax bill, is before the tax bill is due. Once you have put together a strong argument for an additional payment period, you must call HMRC or seek the assistance of a professional judicial administrator who will negotiate on your behalf. The TTP is intended to provide additional time to businesses with financial problems, not to those who want to use the money elsewhere (i.e.
for expansion or investment). Essentially, you have to be willing to pay, just not able to do it at this point. If you can`t pay your taxes on time, you have the option to negotiate… A typical HMRC payment period lasts twelve months and all other taxes must be paid when due, or a HMRC period for payment will be late. This is unlikely, as hmrc has acknowledged in recent years that companies have liquidity problems from time to time and sometimes a little leniency can help solve the problem.