In addition to the self assessment tax return filing and payment deadline of 31 January 2011 for the year to 5 April 2010, there is a further deadline to consider.

If the tax due to HMRC for the year to 5 April 2010 is less than £2,000 then the amount can be collected through your PAYE code number for 2011/12, providing that you have active employment or pension income. This will spread the tax over the year to 5 April 2012 by increasing your monthly PAYE deductions, effectively paying the 2009/10 tax monthly from April 2011.

If you would prefer the option to pay this way then your tax return must be submitted electronically to HMRC by 30 December 2010 (or manually by 31 October 2010).

Please contact us if you have any questions or to discuss this further.