Budget 2018: the chancellor announced changes to 'Interest provisions for late payment, repayment and penalties', to ensure that they apply as intended across various taxes.

From Royal Assent of Finance Bill 2018-19 the clarifications will have retrospective effect to when the relevant interest first applied.

  • The changes will regularise historical arrangements for charging interest in relation to payments and repayments of the following:
    • Corporation Tax
    • Diverted Profit Tax
    • Inheritance Tax
    • Stamp Duty
    • SDLT
  • The changes will also apply to interest on PAYE penalties.

Useful links:

Budget 2018 live highlights

Budget 2018 summary

External link

HMRC: Changes to interest provisions for late payment, repayment and penalties